1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
laila [671]
3 years ago
15

Suppose that the demand and supply schedules for rental apartments in the city of Gotham are as given

Business
1 answer:
denis-greek [22]3 years ago
3 0

Answer:

a) Equliibrium Price: 2,000,

b) Shortage, 5,000  units, 10,000 units actually rented

c) Surplus, 5,000 units, 10,000 units actually rented

Explanation:

The demand and supply schedules for rental apartments in the city of Gotham are given as:

Monthly Rent         Apartments Demanded            Apartments Supplied

2500                                 10,000                                           15,000

2000                                 12,500                                           12,500

1500                                  15,000                                           10,000

1000                                  17,500                                             7,500

500                                  20,000                                             5,000

a) At equilibrium price, number of apartment demanded equals number of apartment supplied. From the table, the equilibrium price is $2,000.

b)   If the local government can enforce a rent-control law that sets the maximum monthly rent at $1500, then number of apartments supplied is 10,000. and the number of apartments demanded is 15,000.

This means there is going to be a shortage of 15,00-10,000=5,000.

The number of units that is actually rented is 10,000

c) if  a new government declares that the minimum rent that can be charged is $2500 per month, then , the apartments supplied at this price is15,000 units and the apartment demanded at this price is 10,000 units. Since supply outweighs demand, there is going to be a surplus of 15,000-10,000=5,000 units.

The number of units that is actually rented each month refers to the effective demand, which is 10,000

You might be interested in
In a competitive market equilibrium, the allocation of the social surplus is such that ____________.
Leto [7]

In competitive market equilibrium, the allocation of the social surplus is such that no individual can be made better off without making someone else worse off.

The phrase "competition equilibrium" refers to an equilibrium condition when the firm's goal of maximising profits and the customers' goal of maximising utility both aspire to reach an equilibrium price as a result of freely determined prices.

According to the theory of competitive equilibrium, the firm's supply of the product is equal to the market's demand for that same amount of the product. It is a circumstance in which neither the buyer nor the seller can strengthen their bargaining position with regard to the goods being sold.

Learn more about competitive market here brainly.com/question/13961518

#SPJ4

6 0
1 year ago
An interview begins _____.
Zina [86]
When the first question is asked. Up until then you could decide to walk away.
7 0
2 years ago
Read 2 more answers
Refer to the scenario below to answer the following question(s). Giant Beanstalks is a company based in Maryland that processes
creativ13 [48]

Answer:

Exclusive distribution

Explanation:

Exclusive distribution is defined as an agreement between a producer and retailer that gives the exclusive right to a retailer to distribute the products of a supplier within a given geographical location. Only one distributor is used by the supplier within a given area.

In the secanrio given Giant Beanstalk a company that processes and cans vegetables, recieves raw materials from over 80 companies. It only gives distribution rights to Greenleaf a grocery chain with 38 stores in the country.

5 0
3 years ago
Working capital can be defined as
DiKsa [7]

Answer:

A. current assets less current liabilities

I think this is answer

Explanation:

hope it help you

3 0
2 years ago
Among the challenges facing those who practice the medical model today are cure versus control, the development of new drugs and
slava [35]
<span>Among the challenges facing those who practice the medical model today are cure versus control, the development of new drugs and <span><span><u>the control of medical services.</u>
</span></span>According to the definition, the medical model is "</span><span>a term in psychology, indicating the assumption that abnormal behavior is the result of physical problems and should be treated medically."</span><span>
</span>
6 0
3 years ago
Other questions:
  • A basic premise of the National Response Framework is that response structures and resources must be able to expand rapidly to m
    10·1 answer
  • The fact that iq scores have, on average, risen over the past century is called the ________ effect.
    7·1 answer
  • Which capital budgeting method is most useful for evaluating a project that has an initial afterminustax cost of​ $5,000,000 and
    5·1 answer
  • What is an advantage of permanent life insurance policy
    15·1 answer
  • A company or department may standardize with a specific ____ so that all of their documents have a similar appearance.
    9·1 answer
  • 11. If you saw an employee take damaged merchandise that had been thrown away, what would
    15·1 answer
  • Help quick!
    8·2 answers
  • The City of Mayville had total fund balance in its General Fund of $200,000 on December 31, 2019. The City of Maysville's Genera
    10·1 answer
  • When the grocery store orders a large shipment of chocolate candy just before Valentine's Day, this type of inventory is typical
    5·1 answer
  • if customers buy a quantity of seven products per week, regardless of the price, the numeric value of the price elasticity of de
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!