Under rent controls
A) there is a shortage of rental units.
B) the quantity supplied of rental units is greater than it would be under freely competitive markets.
C) there is less government involvement in rental markets overall because there is a better supply of low-income housing.
D) all renters are better off than under freely competitive markets.

Question

Quizplus · Accepted Answer

Rent controls lead to a shortage of rental units because landlords are discouraged from building or maintaining rental properties if they are unable to charge market rates. This leads to a decrease in the quantity supplied of rental units, leading to a shortage.

Under Rent Controls