Question: Consider a college town where the initial equilibrium price of apartments is $400 and the initial equilibrium quantity is 1,000 apartments. The price elasticity of

Consider a college town where the initial equilibrium price of apartments is $400 and the initial equilibrium quantity is 1,000 apartments. The price elasticity of demand for apartments is 1.0 Suppose the demand for and the elasticity of supply is 0.50. The new equilibrium price of apartments increases by 15%. Apartments will be what and why?

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