MULTIPLE-CHOICE QUESTIONS 1. Rent control is an example of (a) a price increase (b) a price decrease (c) a price floor (d) a price ceiling 2. Which of the following labour markets would be most affected by minimum-wage legislation? (a) a university (b) a law firm (c) a car wash (d) a bank 3. Which of the following describes the shift caused by a $500-per-automobile pollution tax on the manufacturers? (a) demand curve down by $500 (b) demand curve up by $500 (c) supply curve up by $500 (d) supply curve down by $500 4. Which of the following is caused by a binding price ceiling? (a) shortages (b) excess supply