Determine what the policy generates, Microeconomics

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Determine what the policy generates

In the market equilibrium, with a price of $500 there are 2000 apartments. If the government decides to enact a rent control policy, with a maximum price of $400, it reduces the quantity to 1500 apartments. Due to the rent control decreasing the total surplus of the market, the policy generates a(n) __________ .

A. excess supply

B. equilibrium

C. higher price

D. deadweight loss

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Microeconomics: Determine what the policy generates

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Microeconomics: Determine what the policy generates

Reference No:- TGS040568

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Recent Questions Asked Microeconomics

Q : Annuity changed from ordinary annuity

Q : Real property received in the non-liquidating distribution

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Request for Solution File

Ask an Expert for Answer!!

Microeconomics: Determine what the policy generates

Reference No:- TGS040568

Recent Questions Asked Microeconomics

Q : Annuity changed from ordinary annuity

Q : Real property received in the non-liquidating distribution

Q : What accoun entries should jack make to reflect redemption

Q : Annual ocf for the project

Q : Determine what the policy generates

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