The following graph shows the supply and demand curves for Airbnb rentals in the hypothetical economy of Luxuria in 2010, two years after Airbnb launched; the equilibrium quantity of rentals was 80 rooms per day, and the equilibrium price was $140 per room. At that time, Luxuria was enforcing tax regulations on the market for hotels, but it hadn't yet initiated a tax arrangement on room rentals through Airbnb.