Rent Control

Cowan D & Marsh. 2001. A Two Steps Forward: Housing Policy into the New Millennium. Policy Press

A price ceiling is a government-levied maximum rate for a product or good. When a price ceiling inflicted by the government is more than retail equilibrium price, the price ceiling has no effect on the market or economy. This is because it does not obstruct supply, nor does it boost the demand. A different effect transpires if the government imposes a price ceiling below the market’s equilibrium rate. The suppliers will no longer be capable of charging the price that the market mandates, but they are required to meet the maximum price determined by the government’s price ceiling. When the demand rises beyond the capability to supply, shortages ensue. This leads to rationing of the product, causing some consumers to experience longer lines to obtain the product. In a worse case, there would be no products available for the consumer to buy.

As if all of the more or less hidden fees were not bad enough, young, single, and poor families able to find a rental property are often discriminated against. Landlords tend to use factors such as income and credit history in determining who gets their rental property Richer families end up doing better with rent control laws because of this. Poorer people who make up a larger part of the population end up out of a house to live in.

Americans across the United States search for the perfect home, location and square footage of course a great price to pay for their castle. Finding an affordable place to live is ideal, and necessary for survival in this day of age. As the years go by the cost of living increases but Americans do not receive a cost of living raise. The demand for affordable housing is on a all time high, but so is the cost of housing in the metropolitan areas across the United States. America must take care of its citizens and should provide affordable housing programs, to assist Americans to either purchase or rent a home.

Rent control refers to laws that limit the amounts of rent and the amounts that rent can be increased in any year. There is no statewide rent control in the US, and all the rent control laws and regulation are passed by cities. Most of the cities with rent control are located in New York, California, and New Jersey. Washington, D.C. also has rent control.

When the recession happened, and the housing market crashed in Los Angeles a few years back many people lost their homes. The foreclosure crisis displaced many homeowners, drove up demand, and rental prices increased. Now, it is almost two years later, and the dramatic rent increases continue to soar. There would be no issue with cost of living increase except; the increases in income have yet to make the same shifts. “In many cities, rent is rising out reach of

Many of the US state governments (majorly New York) have placed rent controls so as to make housing affordable to its citizens. Landlords rent their housing units to tenants at government-controlled prices. This is done by the introduction on price ceilings and price floors. Tenants are therefore enabled

What is known about the dearth of inexpensive living spaces in high-cost, heavy populated areas is its scarcity is a function of supply. Demand remains a non-issue for policy makers as demand has

Those who argue in favor of rent control say that it is the only way to protect

The author focuses on rising housing costs. Here is where myself and the author begin to part. Unlike the author I don’t believe the answer is this simple. Although the rates as he describes are rising faster than any other market or minimum wage. One most always look introspectively at a cause first before looking externally. The problem with blanket statement like: the singular reason is rising costs, is that it holds blameless those who choose not to better themselves. One of the major problems I see in the world is a sense of undeserved entitlement. If you can’t pay rent in downtown of city my solution is to look for housing elsewhere. I have moved across the country from my family for years and now am the closest I have been in over 4 years still 5 hours away. Growing up my housing situation has been just as unstable as many described in this piece. It was a sense of pride and entitlement that put me in that situation not rising costs. After leaving home and moving to California I found myself struggling one day to make rent, I was paying $1,800 a month just for rent let alone a car payment and utilities. Although this was unexpected and due to something I could not control I had to remedy the situation I cut back on unnecessary expenses, moved when my lease finished and now I refuse to ever be in that situation again. I am now here at UW-Madison pursuing an education that will allow me to be financially stable for the rest of my life. If I can make it with all of the setbacks I have had in my life, why shouldn’t we encourage others to do the same? Minimum wage although it should cover expenses for housing we all know doesn’t and we adjust our sights to accommodate for that. We get an education and better ourselves and those around us. This allows us the lives we want to live. In closing I hold the renters responsible

There are lots of benefits brought by the rent control after it was adopted. First of all, the rent control lowers the rent, so that the rent apartments have become more affordable for the public, especially for poor and working people. One statistic that may help with this statement would be the journal published by Gerard Mildner and Peter D. Salins in 1991, they stated that the normal apartment renting price was about $180 in 1975 because of the rent control. 12 years later, which is 1987, the rent price increased to around $400 due to the inflation. We can see from the data that the rent went up for about 130% in 12 years. However, the consumer price in general only rose 105%. (City Journal) Therefore, instead of only maintaining the current rent price, the rent control also helps to prevent

Once that I have reviewed the information that was gather and that facts to understand what is going to happen in the long ran within the economy, I would have to disagree with the fact of the price ceiling show be something that landlords, corporation or individuals should think about because of the changes within the market and minimum wages the economy is going to have people that are going to have a hard time keeping up. There is nothing wrong with increasing of minimum wages it would be nice to have more money but not at the risk of many people losing their jobs, homes, etc. in the

Nearly one in three Americans struggle with finances every month after paying rent. If I was left with one-hundred dollars after paying rent but still had to pay bills for the month, this is how I would get by. After splitting the bills with three other roommates, my portion of the cost would add up to approximately seventy-seven dollars, leaving me with only twenty-three dollars for food and transportation. To decrease transportation costs, I would ride my bike so more money could go towards my nourishment. To get enough food for twenty-three dollars, I would go into depth creating a meal plan for the month.

The purpose of this report is to examine London renting market and all features related to it. Over the last decade the rent of property in London has enlarged dramatically. As London became one of the leading economical city in the world, it has attracted an array of different people, including professional employees, families, tourists and investors. However, they were all overwhelmed by the cost of living. Even the natives are moving outside the city to cut the expenses of rent. The major problem of excessive pricing is that people might emigrate or choose other city instead of London. In this coursework will be discussed the demand and supply of rent in London, immigration and emigration, factors that might influence the collapse of market, suggestions to the UK parliament how to avoid it and compare the London with other cities. This analysis will be vital for all arriving individuals along with resident. Since London is one of the world centers, people should realize that the cost of living will be higher compared to other cities.

* The curve is upward-sloping which means that other things constant, an increase in output is accompanied by an rise in price level