Suppose the equilibrium rent in Boston is $1,500.A rent ceiling of $1,600 per month leads to

Name: Suppose the equilibrium rent in Boston is $1,500.A rent ceiling of $1,600 per month leads to
Brand: Quizplus
Rating: 5.0 (60 reviews)

Question

Quizplus · Accepted Answer

A rent ceiling set above the equilibrium rent does not affect the market because the market can still operate at the equilibrium price. The ceiling does not constrain the price to below what it would naturally settle at, so there is no change in the market dynamics.

Suppose the Equilibrium Rent in Boston Is $1,500