If a rent control policy is enacted to protect apartment renters, this is likely to lead to
A)an increase in the supply of apartments.
B)rise in the number of households looking for rental units.
C)increased investment in rental properties.
D)the conversion of office buildings to rental apartments.

Question

Quizplus · Accepted Answer

While rent control policies may protect current apartment renters, they may also discourage landlords from investing in new rental properties or maintaining current ones, leading to a decrease in the supply of available units. This decrease in supply can lead to a rise in the number of households looking for rental units, making it harder for people to find a place to live. Additionally, some landlords may choose to convert their rental properties into condos or other types of buildings, or may decide to convert office buildings into rental apartments, in order to avoid rent control regulations. Overall, while there may be some benefits to rent control policies, they can have unintended consequences that impact the availability and quality of rental housing.

If a Rent Control Policy Is Enacted to Protect Apartment