When rent control is imposed above the current market price it will
A) increase the quantity of rental housing demanded.
B) reduce the quality of rental housing.
C) create a shortage of rental housing.
D) create no impact on the market.

Question

Quizplus · Accepted Answer

When rent control is imposed above the current market price, it is non-binding and has no impact on the market because the market price is already lower than the controlled price.

When Rent Control Is Imposed Above the Current Market Price