Rent Control Applies to About Two-Thirds of the Private Rental

question 158

Multiple Choice

Rent control applies to about two-thirds of the private rental housing in New York City. Economic theory suggests that the below-equilibrium prices established by rent controls would

• A) create a surplus of rental housing.
• B) promote a rapid increase in the future supply of housing.
• C) result in poor service and quality deterioration of many rental units.
• D) lead to a reduction in housing discrimination against minorities.

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Definitions:

Behaviors

Actions or reactions of an individual or a group in response to external or internal stimuli.

Repetition

The act or process of doing or saying something again, often for emphasis or to ensure understanding.

Perceptual Process

The sequence of steps that involves receiving, selecting, organizing, interpreting, and responding to sensory information.

Private-label Item

A product that is manufactured by one company but sold under another company's brand, typically a retailer's brand.