Suppose the equilibrium rent in Mildura is $1,500. A rent ceiling of $1,600 per month leads to

Name: Suppose the equilibrium rent in Mildura is $1,500. A rent ceiling of $1,600 per month leads to
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Quizplus · Accepted Answer

A rent ceiling set above the equilibrium rent does not affect the market because it does not constrain the rent to below what it would naturally settle at in an unregulated market. Therefore, the market remains at equilibrium with no surplus or shortage created by the rent ceiling.

Suppose the Equilibrium Rent in Mildura Is $1,500