Which of the following is a result of imposing a rent ceiling?
A)Some consumer surplus is converted to producer surplus.
B)There is an increase in the quantity of apartments supplied.
C)There is an increase in the quantity of apartments demanded.
D)The marginal benefit of the last apartment rented is less than the marginal cost of supplying it.

Question

Quizplus · Accepted Answer

A rent ceiling typically leads to a shortage, as the price is kept below the equilibrium, increasing the quantity demanded while decreasing the quantity supplied.

Which of the Following Is a Result of Imposing a Rent