Which of the following is a consequence of rent controls established to keep housing affordable for the poor?

A) Less rental housing is available as prospective landlords find it unprofitable to rent at restricted prices.
B) The quality of rental housing declines as landlords lack the funds and incentive to maintain properties.
C) Apartment buildings are torn down in favor of office buildings,shopping malls,and other buildings where rents are not controlled.
D) All of these are consequences of rent controls.

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Mercedes Hernandez · Accepted Answer

Final Answer : D, Explanation :  All of these consequences have been observed as a result of rent controls. When landlords are not able to earn a fair return on their investments, they may choose to convert rental units into other more profitable forms of real estate, which reduces the overall supply of rental housing. Additionally, landlords may lack the financial incentive to keep their properties in good condition, resulting in deterioration over time. Finally, rent controls may discourage new construction, which exacerbates existing housing shortages.

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