What are the pros and cons of rent control?
What are the pros and cons of rent control?
Hunter James
Caleb Williams
PROS: It's good for renters.
CONS: It's bad for landlords.
James Cook
cons: it's a price ceiling and will create a shortage of supply
black markets will arise to the extent possible to correct this
reduction in property value, an additional tax on landlords, may ruin existing financial structures created without consideration of such policies
pros: it allows poor people to not have to move as often from an area it's implemented in
Christopher Martinez
>cons: it's a price ceiling and will create a shortage of supply
because we totally don't have a shortage of supply currently...
Lucas Fisher
>t. liberal arts major that has never heard of a price ceiling
Luke Green
Pros:
Cons: It destroys cities
Ayden Clark
This.
I don't think you understand what a shortage is. A shortage is when demand is greater than supply at a (market) price. A shortage is NOT when demands > supply at lower than the current price.
I live in a country with some rent control and it has lead to a shortage and a black market just as economic theory predicts.
Aaron Jenkins
Your single pro supersedes your cons, how do you feel?
Jason Morales
when demands > supply at a price lower then the current price*
Jaxon Lopez
>business board
>nobody mentions social welfare
It’s a quantifiable problem. Society is worse off when the market can’t set its own equilibrium. This is literally Econ 101