What will be the excess demand for apartments

Reference no: EM13175717

Recent increases in rents have caused the citizens of Elmville to vote for a rent ceiling of $1200. Assuming all rental units in Elmville are identical and the supply and demand for rental units are given by

Qs = -1000 + 20P

Qd = 50000 - 10P

What will be the excess demand for apartments once the price ceiling is implemented?

Reference no: EM13175717

Questions Cloud

Show a breakdown analysis : A study has estimated the effect of changes in interest rates and consumer confidence on the demand for money to be: ln M = 14.666 + .021 ln C ? 0.036 ln r, where M denotes real money balances, C is an index of consumer confidence, and r is the in..

How the demand for sugar is elastic : When the price of sugar was "low," consumers in the United States spent a total of $1 billion annually on its consumption. When the price doubled, consumer expenditures actually increased to $3 billion annually.

Explain the he demand for corn : When the price of corn was "low," consumers in the United States spent a total of $3 billion annually on its consumption. When the price halved, consumer expenditures actually decreased to $1 billion annually.

Explain the rationale : Analyze the various exchange-rate systems (floating, managed floating, adjustable pegged, and crawling pegged) and determine which would be most beneficial to the following stakeholders: the U.S. Government

What will be the excess demand for apartments : Recent increases in rents have caused the citizens of Elmville to vote for a rent ceiling of $1200. Assuming all rental units in Elmville are identical and the supply and demand for rental units are given by Qs = -1000 + 20P

How to use third degree price discrimination : Cinema Theater has estimated the following demand functions for its movies: Daytime demand, QD = 400 - 50 PD Nighttime demand, QN = 200 - 20 PN The marginal cost of serving another customer is $5 and its fixed costs are $100.

Explain inflation rate-aggregated demand and output : Explain how each of the folloowing variables will be affected by proposed steps that you have identified in the first part of the decussion: Money supply, interest rate, inflation rate, aggregated demand and output.

What are the financial markets : What are financial intermediaries? How do these intermediaries function in the economy? What is a federal government budget deficit? What is the national debt? How does a budget deficit affect the economy?

Explain phillips curve, aggregate demand, and aggregate supp : If the Bank of Canada continues to take expansionary monetary policy, how are the unemployment rate and inflation affected? (Use both Phillips curve and AS-AD graphs in your explanation.)

User Account

All Pages