Recent increases in rents has lead the citizens of Elmville to vote in a rent ceiling of $1200. Assuming all rental units in Elmville are identical and the supply and demand for rental units are given by
Qs = -1000 + 20P
Qd = 50000 - 10P
What will be the excess demand for apartments once the price ceiling is implemented?© BrainMass Inc. brainmass.com April 3, 2020, 9:49 pm ad1c9bdddf
This solution shows how to calculate the excess demand for apartments in a market where there is a rent ceiling.