rent control

price ceiling

A price ceiling is a government-imposed limit on how low a price is charged and kept for a good.

price floor

A price floor is a law requiring that a price for a certain good be kept above some level

Equilibrium

Equilibrium is a state where economic forces are balanced and in the absence of external influences the (equilibrium) values of economic variables will not change.

rent control

Rent control is a price ceiling imposed by the government who sets price controls on the renting of residential housing.

law of demand

The law of demand states that all else equal, as the price of a product increases, a lower quantity will be demanded.For example, If the income of the consumer, prices of the related goods, and preferences of the consumer remain unchanged, then the change in quantity of good demanded by the consumer will be negatively correlated to the change in the price of the good.

law of supply

The law of supplystates that all else equal, an increase in price results in an increase in quantity supplied.There is a direct relationship between price and quantity