Question

Markets that are characterized by many buyers and many sellers are:

A)

foreign.

B)

monopolies.

C)

inefficient.

D)

competitive

he difference between the demand price and the supply price at the quota limit is:

A)

the rent received by landlords who own rent-controlled apartments

B)

the quota rent

C)

usually large enough to cause a surplus.

D)

the opportunity cost of using or buying a good, subject to an import quota.

page24image2423078000
The figure above illustrates the rental housing market in Winnipeg where there is a rent ceiling of $400 a month. The rent ceiling is strictly enforced. The number of apartments rented is

A)

less than 2 thousand

B)

4 thousand.

C)

3 thousand.

D)

2 thousand.

The effect of a rent ceiling set above the equilibrium price

A)

encourages the development of black markets.

B)

is essentially nonexistent.

C)

is powerful, strengthening price as a regulator of quantity supplied and quantity demanded

D)

is powerful, eliminating price as a regulator of quantity supplied and quantity dem

Answer 1

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Question:

Answer:

Markets that are characterized by many buyers and many sellers are:

D). Competitive

In the competitive market there are buyers and many sellers in the market and price is determined by the demand and and supply.

The difference between the demand price and the supply price at the quota limit is:

B). The quota rent

The difference between world prices and Community prices results in what are known as "quota rents" or the difference between the demand price and the supply price at the quota limit.

The effect of a rent ceiling set above the equilibrium price:

C). Is powerful, strengthening price as a regulator of quantity supplied and quantity demanded.

A price ceiling keeps a price from rising above a certain level and and control price. Normally in the competitive market price is determine by demand and supply but some the the government adopts a policy of price control for a essential items or products or goods trough price celing.

Note: There is a quention in which graph is not visible so, i am not able to answer it. Sorry.

Thank You