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the demand for on campus student housing at the university of Idaho, in Moscow, Idaho. The college has 2,000 rooms for rent.
a. Illustrate what is the equilibrium rent and how many rooms are rented.
b. if the college sets a rent ceiling on on campus housing of $125 a week, how would you describe the on campus housing market?would the allocation of housing be efficient? would it be fair?
c. if the rent ceiling of $125 a week were strictly enforced and there was no black market, who would gain and who would lose?
d. if a black market developed as a result of the $125 a week rent ceiling, what range of rents would be offered for a room? would the allocation of housing be efficient? would it be fair? explain"
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