When cities prevent landlords from charging market rents

Reference no: EM13697647

Rent controls force landlords to price apartments below the equilibrium price level. An immediate effect is a shortage (excess demand) of apartments, because the quantity of apartments demanded is greater than the quantity supplied at the regulated price.

When cities prevent landlords from charging market rents, which of the following are common long-run outcomes? Check all that apply.

The future supply of rental housing units increases.

Efficient use of housing space results

Nonprice methods of rationing emerge

The quantity of available rental housing units falls.

Reference no: EM13697647

Questions Cloud

What is the private market price : A study finds that leaf blowers make too much noise, so the government imposes a $10 tax on the sale of every unit to correct for the social cost of the noise pollution. The tax completely internalizes the externality. Before the corrective tax, Blow..

Characteristics of the u.s. health care delivery system : What makes the U.S. health care delivery system unique? What are the strengths of this vast system, and what are the limitations? How have the philosophical, economic, political, and cultural influences of this nation shaped health care deliver..

Roughly how many payments were made : A loan of $1,000 (in year 0) is paid back in equal, end-of-year payments of $125 (in years 1,2,…,n). Assuming an interest rate of 8.45%, roughly how many payments were made? (i.e., what is n?)

Government decides to charge cola consumers a tax : Suppose that the U.S. government decides to charge cola consumers a tax. Before the tax, 25,000 cases of cola were sold every week at a price of $7 per case. After the tax, 18,000 cases of cola are sold every week; consumers pay $8 per case (includin..

When cities prevent landlords from charging market rents : Rent controls force landlords to price apartments below the equilibrium price level. An immediate effect is a shortage (excess demand) of apartments, because the quantity of apartments demanded is greater than the quantity supplied at the regulated p..

Properly label sergeis labor supply curve for wage increase : Sergei is a computer programmer with a utility function equal to U=Y+120L-L . He contracts with Uber that allows him to set his own work hours; they pay him $50/hour. He has allocated himself a work-hour time budget of a maximum of 250 hours per mont..

When economists speak of marginal they mean : When economists speak of "marginal," they mean. Managers undertake an investment only if. A company is producing 15,000 units. At this output level, marginal revenue is $22, and the marginal cost is $18. The firm sells each unit for $48 and average..

Behavior and work procedures conform to standards : Control is achieved when behavior and work procedures conform to standards and goals are accomplished. By contrast, control loss occurs when behavior and work procedures do not conform to standards. To determine whether control is worthwhile, m..

User Account

All Pages