Use the following to answer question(s): Rent Controls

-(Exhibit: Rent Controls) If rent controls are imposed, they will most likely be set at either _______ or _______ .
A) Rent₀; Rent₁
B) Rent₁; Rent₃
C) Rent₃; Rent₄
D) All of the above are equally likely rent control levels.

Question

Use the following to answer question(s): Rent Controls
 
-(Exhibit: Rent Controls) If rent controls are imposed, they will most likely be set at either _______ or _______ .
A) Rent₀; Rent₁ 
B) Rent₁; Rent₃ 
C) Rent₃; Rent₄ 
D) All of the above are equally likely rent control levels.

Quizplus · Accepted Answer

The exhibit does not provide any information about Rent₁, Rent₃, or Rent₄, so options B and C can be eliminated. Additionally, there is no indication that all levels are equally likely, so D can also be eliminated. The exhibit only shows that rent controls are most likely to be set at either a maximum rent (Rent₁) or a below-market rent (Rent₀).

Use the Following to Answer Question(s): Rent Controls