Rent controls are an example of
A) market equilibrium.
B) a price floor.
C) an effective way of providing the poor with access to housing.
D) market efficiency.
E) a price ceiling.

Question

Quizplus · Accepted Answer

Rent controls are a type of government policy that sets a maximum rent price that landlords can charge tenants, which creates a price ceiling. They are often implemented as a way to reduce the cost of housing for low-income individuals and families, but they can also result in reduced quality and quantity of available housing, as landlords may have less incentive to maintain or improve properties. Therefore, rent controls can be a controversial policy solution to address housing affordability issues.

Rent Controls Are an Example of