12. Suppose the equilibrium rent for one-bedroom apartments in your neighborhood is $1,000 per month. If the government imposes a rent ceiling of

$750 per month, what will happen to the number of one-bedroom apartments rented out each month?

a. It will increase, since more people will want to rent apartments when they are cheaper.

b. It will decrease, since fewer landlords will want to rent out their apartments when they can’t charge as much.

c. It will not change, since the rent control is set below the equilibrium rent.

d. None of the above