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-The Above Figure Shows the Apartment Rental Market in Bigtown

Question 50

Multiple Choice

  -The above figure shows the apartment rental market in Bigtown. If severe flooding resulted in the destruction of many of the city's apartment buildings, then the A)  supply curve of apartments would shift leftward and rent would rise above $750.00. B)  demand curve for apartments would shift rightward and rent would rise above $750.00. C)  equilibrium quantity of apartments rented would increase beyond 3,000. D)  equilibrium market price of apartments rented would fall below $750.00.
-The above figure shows the apartment rental market in Bigtown. If severe flooding resulted in the destruction of many of the city's apartment buildings, then the


A) supply curve of apartments would shift leftward and rent would rise above $750.00.
B) demand curve for apartments would shift rightward and rent would rise above $750.00.
C) equilibrium quantity of apartments rented would increase beyond 3,000.
D) equilibrium market price of apartments rented would fall below $750.00.

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