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Figure 4-10 Shows the Market for Apartments in Bay City

Question 239

Multiple Choice

  Figure 4-10 shows the market for apartments in Bay City.Recently,the government imposed a rent ceiling at R0. -Refer to Figure 4-10.Suppose that instead of a price ceiling,the government imposed a price floor of R1.What area represents the deadweight loss after the imposition of the price floor? A) G + H B) J + H C) C + E + J + H D) C + E Figure 4-10 shows the market for apartments in Bay City.Recently,the government imposed a rent ceiling at R0.
-Refer to Figure 4-10.Suppose that instead of a price ceiling,the government imposed a price floor of R1.What area represents the deadweight loss after the imposition of the price floor?


A) G + H
B) J + H
C) C + E + J + H
D) C + E

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