Business, 21.02.2020 17:27 helpme6191

$2,50010,00015,0002,00012,50012,500 1,50015,00010,0001,00017,5007,50050 020,0005,000Start at the original (correct) equilibrium price and quantity in part (a).Suppose that the government wishes to decrease the market equilibrium monthly rent by increasing the supply of housing. Assuming that demand remains unchanged, by how many units of housing would the government have to increase the supply of housing in order to get the market equilibrium rental price to fall to $1500 per month? To $1000 per month? To $500 per month?a. Fall to $1500 per month: unitsb. Fall to $1000 per month: unitsc. Fall to $500 per month: units

Answers: 3

Show answers

Answers

Answer from: ljdavies51

a) To $1,500 per month

2,500 units of housing

b) To $1000 per month

5,000 units of housing.

c) To $500 per month

7,500 units of housing.

Explanation:

1. Write the table:

MonthlyRent($) Apartments Demanded Apartments Supplied

2,500 10,000 15,000

2,000 12,500 12,500

1,500 15,000 10,000

1,000 17,500 7,500

500 20,000 5,000

2. Original equilibrium price and quantity.

The equilbrium amount is when the appartments demanded equal the appartments supplied at the same price.

That happens when the price is $2,000 (second row), where the amount is equal to 12,500 apartments (demandend and supplied).

3. By how many units of housing would the government have to increase the supply of housing in order to get the market equilibrium rental price to fall?

a) To $1,500 per month

The basic assumption is that the demand remains unchanged; that means that for a rental price of $1,500 per month, the demand will be 15,000 (third row of the table) appartments, and that is the same amount of houses that shall be supplied by the goverment.

Thus the increase shall be of: 15,000 - 12,500 = 2,500 units of housing

b) To $1000 per month

For a rental price of $1,000 per month, the demand is 17,500 units of housing (fourth row).

Hence, the increase shall be of 17,500 - 12,500 = 5,000 units of housing.

c) To $500 per month

For a rental price of $500 per month, the demand is 20,000 units of housing (fifth row).

Hence, the increase shall be of 20,000 - 12,500 = 7,500 units of housing.

Answer from: Quest

answer; /// the correct answer is (shared); /// good luck

Answer from: Quest

account balance book uk

Another question on Business

Business, 21.06.2019 20:30

Which of the following mechanisms would be most likely to motivate managers to act in the best interests of shareholders? a) decrease the use of restrictive covenants in bond agreements, b) take actions that reduce the possibility of a hostile takeover, c) elect a board of directors that allows managers greater freedom of action, d) increase the proportion of executive compensation that comes from stock options and reduce the proportion that is paid as cash salaries, e) eliminate a requirement that members of the board directors have a substantial investment in the firm's stocks

Answers: 2

Answer

Business, 22.06.2019 06:40

After the 2008 recession, the amount of reserves in the us banking system increased. because of federal reserve actions, required reserves increased from $44 billion to $60 billion. however, banks started holding more reserves than required. by january 2009, banks were holding $900 billion in excess reserves. the federal reserve started paying interest on the excess reserves that the banks held. what possible impact will these unused reserves have on the economy?

Answers: 1

Answer

Business, 23.06.2019 00:30

Kim davis is in the 40 percent personal tax bracket. she is considering investing in hca(taxable) bonds that carry a 12 percent interest rate. what is her after- tax yield(interest rate) on the bonds?

Answers: 1

Answer

Business, 23.06.2019 02:20

Kubin company’s relevant range of production is 18,000 to 22,000 units. when it produces and sells 20,000 units, its average costs per unit are as follows: average cost per unit direct materials $ 7.00 direct labor $ 4.00 variable manufacturing overhead $ 1.50 fixed manufacturing overhead $ 5.00 fixed selling expense $ 3.50 fixed administrative expense $ 2.50 sales commissions $ 1.00 variable administrative expense $ 0.50 required: 1. for financial accounting purposes, what is the total amount of product costs incurred to make 20,000 units? 2. for financial accounting purposes, what is the total amount of period costs incurred to sell 20,000 units? 3. for financial accounting purposes, what is the total amount of product costs incurred to make 22,000 units? 4. for financial accounting purposes, what is the total amount of period costs incurred to sell 18,000 units?

Answers: 1

Answer

You know the right answer?

$2,50010,00015,0002,00012,50012,500 1,50015,00010,0001,00017,5007,50050 020,0005,000Start at the ori...

Questions