Why would your enthusiasm for rent control wane over time

Reference no: EM131142348

Suppose the supply of rental apartments is completely inelastic in the short run. Show that imposing a ceiling on rents that is below the equilibrium rent does not cause any inefficiency by demonstrating that total consumer and producer surplus is not reduced by the rent ceiling. If the supply of rental apartments is more elastic in the long run, explain why a ceiling on rents would reduce the total surplus. 6. If you do not know whether you would be able to get a rent-controlled apartment, under what circumstances might you nonetheless vote for rent control? Why would your enthusiasm for rent control wane over time?

Reference no: EM131142348

Questions Cloud

What will be the total vehicle delay : The toll booth opens at 9:00 A.M. and processes vehicles at a rate of 12 per minute throughout the day. Assuming D/D/1 queuing, when will the queue dissipate and what will be the total vehicle delay?

When does fertilization occur in the mushroom life cycle : What global climatic change gave gymnosperms an advantage over ferns? Where and when does fertilization occur in the mushroom life cycle?

How managers develop buy in from the various groups : "Buy-in" of the strategic direction of the organization is important.- How should managers develop buy-in from the various groups and areas within the organization?

Determine total delay and maximum queue length : Determine total delay, maximum queue length, and the time that the 20th vehicle to arrive waits from its arrival to its departure.

Why would your enthusiasm for rent control wane over time : Why would your enthusiasm for rent control wane over time?

Verify if the allocation are feasible & pareto optimal : There are two people (A&B) and two goods (1&2). One production process is available with a production function y2 (y1) = 2y1. The two people are endowed with a total of 60 units of good 1 (we do not know what is the division of wealth). The utility f..

What is the maximum queue length : When will the queue clear, what is the total delay, and what is the maximum queue length?

Who makes the economic decisions and produce goods : What is produced, and in what quantities? How are these goods produced? For whom are they produced? Who makes the economic decisions?

What is the total delay and the maximum queue length : What is the total delay and the maximum queue length - the parking lot opens and processes vehicles at a rate of 12 per minute.

User Account

All Pages