Question | (Price ceilings): The city council of Davis are concerned about the high rents being charged to college students. They're considering placing a $600 rent ceiling on all one-bedroom apartments in the city. An economist at the university estimates the demand and supply curves for this market to be: Q" =9,000-4P Q=400+6P where P 1s monthly rent, QD is the quantity of apartments demanded, and QS 1s the quantity of apartments supplied. a) b) c) d) What 1s the equilibrium price and quantity of one-bedroom units rented in Davis without rent control? Calculate and show graphically. What 1s the equilibrium price and quantity of one-bedroom units rented in Davis with a rent ceiling of $8007? Calculate and show graphically. Does the rent ceiling create a shortage? If so, what 1s the shortage? Show graphically. Calculate the change in welfare to consumers and producers when the rent ceiling implemented. Are renters better-off with the rent ceiling? Sometime government policies have unintended consequences. Use the article below (a full pdf can be found in files) to briefly discuss how rent-control impacts mcentives or landlords to provide and maintain rental units. https://'www.economist.com/united-states/2022/08/2 5/amencan-cities-want-rent-control-to-rein-in- housing-costs Landlords may convert units to condos, put less money into maintenance