S E12: When Governments Intervene - Taxes, Price & Quantity Regulations
Think Like An Economist
Government Regulates Prices
Naz: Government's benevolent plan to help renters out can actually end up doing more harm. People may bribe landlords to get apartments, so that secretly pushes the price back up. Or land ords may try to save money by not doing things like paying for repairs,. That pushes the quality down, which is like an effective rise in the price.
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