Question:

Rent controls set a price ceiling below the equilibrium price and therefore:?

by  |  earlier

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quantity supplied exceeds the quantity demanded.

quantity demanded exceeds the quantity supplied.

a surplus of rental units will result.

poor people will obviously be helped.

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  1. Quantity demanded exceeds quantity supplied.  At low prices, more people can afford the apartments.  In addition, more people will want to rent and get an apartment due to such low prices.  So there would be too much demand.  There wouldn't be enough apartments to handle such a huge increase with demand.


  2. the second one... cuz when the price is below the equilibrium it is likely that the quantity demanded will be higher that that supplied...

  3. quantity demanded exceeds the quantity supplied

  4. quantity demanded exceeds quantity supplied, resulting in a shortage.

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