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Delvig [45]
3 years ago
13

When cities prevent landlords from charging market rents, which of the following are common long-run outcomes? Check all that ap

ply. a. The quality of rental housing units falls. b. Landlords earn lower profits from renting housing units, but the rent charged has no effect on either the quantity or quality of rental units. c. The quantity of available rental housing units falls. d. The future supply of rental housing units increases.
Business
1 answer:
Thepotemich [5.8K]3 years ago
7 0

Answer:

a. The quality of rental housing units falls

c. The quantity of available rental housing units falls.

Explanation:

As the landlord cannot receive a desired return for their investment they will stop improving and doing proper maintenance of the property to obtain it.

They will also be less likely to rent and would prefer to sale and move away from the real-state investment business in the region to more profitable region or better business. This will make the ernt go up as there is less offer as well so the policy backfires.

Stoping the market to work property will cause market failures and the outcome won't be the desired

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There may also be an opportunity cost to using the product for this special order if there is an order that would yield higher returns for the use of Hydrol.

The quantity that would remain after making the special order does not have any impact on the decision making process, as they are considering just one order that requires Hydrol.

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Creating an investment account
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ss7ja [257]

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7 0
3 years ago
When ruko, a device used to stream movies at home, increases prices by 48% total revenue decreases by 61%?
Free_Kalibri [48]

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