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A local government has imposed rent controls on the owners of rental units, setting a legal maximum rent per month. What kind of market failure
A local government has imposed rent controls on the owners of rental units, setting a legal maximum rent per month. What kind of market failure is this, and what is the imbalance that arises as a result? Government failure; a market advantage is created for O the owners Government failure; a market advantage is created for O the renters Information asymmetry; a market advantage is created O for the renters Information symmetry; a market advantage is created O for the owners
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