Answer to Question #297408 in Economics for King Zan

Question #297408

briefly explain how an increase in demand will have an effect on rent

1
Expert's answer
2022-02-15T04:20:38-0500

The supply of rental units reflects the response of landlords and contractors to past price changes. As rental rates increase because of increases in demand, it becomes more profitable for contractors to build new units and the number of rental units increases.


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