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Business Economics MCQs

In a housing market with an effective rent ceiling, _______.

All landlords gain, and the deadweight loss is borne by the consumers who can't find housing

Consumers who do find housing at the controlled rent gain

All consumers gain, and the deadweight loss is borne by the landlords who can't supply housing at the new lower price

All consumer surplus is eliminated by the costs incurred through search activit

Answer

Correct Answer: Consumers who do find housing at the controlled rent gain

Explanation:

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