阅读理解。Incitieswithrentcontrol,thecitygovernmentsetsthemaximumrentthatalandlordcanchargeforanapartment.Supportersofrentcontrolarguethatitprotectspeoplewhoarelivinginapartments.Theirrentcannotin

Question

阅读理解。

     In cities with rent control, the city government sets the maximum rent that a landlord can charge for an
apartment. Supporters of rent control argue that it protects people who are living in apartments. Their rent
cannot increase, therefore, they are not in danger of losing their homes. However, the critics say that after
a long time, rent control may have negative effects. Landlords know that they cannot increase their profits.
Therefore, they invest in other businesses where they can increase their profits. They do not invest in new
buildings which would also be rent-controlled. As a result, new apartments are not built. Many people who
need apartments cannot find any. According to the critics, the end result of rent control is a shortage of
apartments in the city.
     Some theorists argue that the minimum wage law can cause problems in the same way. The federal
government sets the minimum that an employer must pay workers. The minimum helps people who generally
look for unskilled, low-paying jobs. However, if the minimum is high, employers may hire fewer workers.
They will replace workers with machinery. The price, which is the wage that employers must pay, increases.
Therefore, other things being equal, the number of workers that employers want decreases. Thus, critics
claim, an increase in the minimum wage may cause unemployment. Some poor people may find themselves
without jobs instead of with jobs at the minimum wage.
     Supporters of the minimum wage say that it helps people keep their dignity. Because of the law, workers
cannot sell their services for less than the minimum. Furthermore, employers cannot force workers to accept
jobs at unfair wages.
     Economic theory predicts the results of economic decisions such as decisions about farm production, rent
control, and the minimum wage. The predictions may be correct only if "other things are equal". Economists
do not agree on some of the predictions. They also do not agree on the value of different decisions. Some
economists support a particular decision while others criticize it. Fconomists do agree, however, that there are
no simple answers to economic questions.

1. There is the possibility that setting maximum rent may _____.

[     ]

A. cause a shortage of apartments
B. worry those who rent apartments as homes
C. increase the profits of landlords
D. encourage landlords to invest in building apartment

2. There is the possibility that setting maximum rent may _____.

[     ]

A. cause a shortage of apartments
B. worry those who rent apartments as homes
C. increase the profits of landlords
D. encourage landlords to invest in building apartment

3. The problem of unemployment will arise _____.

[     ]

A. if the minimum wage is set too high
B. if the minimum wage is set too low
C. if the workers are unskilled
D. if the maximum wage is set

4. The passage tells us _____.

[     ]

A. the relationship between supply and demand
B. the possible results of government controls
C. the necessity of government control
D. the urgency of getting rid of government controls

5. Which of the following statements is NOT true?

[     ]

A. The results of economic decisions can not always be predicted.
B. Minimum wage cannot always protect employees.
C. Economic theory can predict the results of economic decisions if other factors are not changing.
D. Economic decisions should not be based on economic theory.

Answer 1

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