If a government enacts a rent control to protect apartment tenants, the result is likely going to be

Question

Quizplus · Accepted Answer

When a rent control is put in place, it limits the price that landlords can charge for rent. This can result in a decrease in rents, but can also create a shortage of available apartments as landlords may not be as incentivized to rent out their units due to the limited price they can charge. Therefore, the most likely outcome is a decrease in rents with a shortage of apartments.

If a Government Enacts a Rent Control to Protect Apartment