What are the effects of rent control, both good and bad?
In: 257
Good – The rent for an existing renter does not rise, or only rises with inflation (or whatever).
Bad – Where do we begin
* Rent for new renters are higher, to compensate for the controlled rent of the pre-existing renters.
* There is less or no incentive to build new housing, since the builders will not be able to profit.
* There is less or no incentive to maintain the existing housing, since the cost to do so will usually increase but rent can’t.
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Any reply that demonstrates ignorance of economics will be blocked.
Edit
Looks like the communists found this post.
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