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Suppose That the Equilibrium Rent for Apartments in San Francisco

Question 93

Multiple Choice

Suppose that the equilibrium rent for apartments in San Francisco is $1,200 per month.If the City of San Francisco legislates that apartment owners cannot charge rent higher than $1,000,then the apartment market in San Francisco will experience


A) an equilibrium.
B) a shortage.
C) an excess supply.
D) an increase in supply.

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