Of the Following Groups, Who Gains from Rent Controls

question 391

Multiple Choice

Of the following groups, who gains from rent controls?

• A) landlords
• B) construction workers and their union leaders
• C) poor people who have a hard time earning enough income to pay high rents
• D) high-income people who live in rent-controlled apartments

---

Definitions:

Estimated Annual Net Income

The projection of a company's net income over the course of a future year, based on current trends and expectations.

Straight-Line Depreciation

A way of allocating the expenditure of a physical asset in uniform annual installments over its lifespan.

Average Rate of Return

A financial ratio that shows the average annual return on an investment, expressed as a percentage of the initial investment cost.

Estimated Annual Net Income

The projection of net earnings over a given fiscal year, taking into account all expected revenue and expenses.