Suppose it is decided that rent control in new york city will be abolished and that market rents will now prevail. assume that all rental units are identical and so are offered at the same rent. to address the plight of residents who may be unable to pay the market rent, an income supplement will be paid to all low income households equal to the difference between the old controlled rent and the new market rent. what effect will the elimination of the rent control have on the quantity and quality of rental housing supplied?
(a)-eliminating the rent control will cause both quantity supplied and housing quality to decrease.
(b)-eliminating the rent control will cause quantity supplied to decrease but housing quality to improve.
(c)-eliminating the rent control will cause quantity supplied to increase but housing quality to decrease.
(d)-eliminating the rent control will cause both quantity supplied and housing quality to increase.

Why is the cournot equilibrium an​ equilibrium? a. there are​ short-run barriers to exit in a cournot​ duopoly, so both firms cannot alter their output levels. b. given the other​ firm's level of​ production, both firms are maximizing profits and cannot improve their situation by unilaterally altering their level of output. c. both firms operate at zero profit under a cournot​ equilibrium, so they would face negative profits if they change output. d. both firms operate at minimum​ long-run average cost under a cournot​ equilibrium, so changes to output would reduce​ long-run profits. even if they​ can't collude, why​ don't firms set their outputs at the joint​ profit-maximizing levels​ (i. e., the levels they would have chosen had they​ colluded)? a. given that other firm produces at the collusive​ level, a firm could increase their own profits by increasing output above the collusive level. b. the midpoint of the collusion curve​ (i. e., the collusive​ outcome) lies below the reaction​ curves, so both firms have an incentive to increase output under the cournot duopoly. c. both a and b are correct d. both a and b are incorrect