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Now suppose that the state of California introduces rent control by setting the maximum rent at $2,400 per month. On the previous graph, use the
Now suppose that the state of California introduces rent control by setting the maximum rent at $2,400 per month. On the previous graph, use the grey point (star symbol) to indicate the number of vacancies demanded. Then use the tan point (dash symbol) to indicate the number of vacancies supplied. As a result of rent control, there is a V of vacant units in the market. Grade It Now Save & Continue Continue without saving
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