Suppose a new employer is also relocatingto Lampard City and will be attractingmany new people who will want to buynew houses. Assume that the change in licensing requirements mentioned in Ques-tion 7 occurs at the same time. What do you think will happen to the equilibriumquantity of new homes bought and sold inLampard City?a. It will decrease substantially.b. It will decrease but not by much.c. It will increase.d. Not enough information.
Suppose a new employer is also relocatingto Lampard City and will be attractingmany new people who will want to buynew houses. Assume that the change in licensing requirements mentioned in Ques-tion 7 occurs at the same time. What do you think will happen to the equilibriumquantity of new homes bought and sold inLampard City?a. It will decrease substantially.b. It will decrease but not by much.c. It will increase.d. Not enough information.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Suppose a new employer is also relocating
to Lampard City and will be attracting
many new people who will want to buy
new houses. Assume that the change in
licensing requirements mentioned in Ques-
tion 7 occurs at the same time. What do
you think will happen to the equilibrium
quantity of new homes bought and sold in
Lampard City?
a. It will decrease substantially.
b. It will decrease but not by much.
c. It will increase.
d. Not enough information.
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