Final answer:
Rent control often leads to housing shortages due to economic inefficiency, with some tenants benefiting from lower rents, while others struggle to find housing due to landlords withdrawing from the market, resulting in fewer units available than the original market equilibrium.
Step-by-step explanation:
In summary, opponents of rent control believe that it causes economic efficiency, equilibrium rents, housing shortages and can cause shortages and surpluses.
Rent control, as a type of price control, can lead to shortages or surpluses in the rental market. Shortages occur when the quantity demanded exceeds the quantity supplied, resulting in a lack of available rental housing. On the other hand, surpluses occur when the quantity supplied exceeds the quantity demanded, leading to an excess supply of rental housing.
Overall, price controls, including rent control, are often seen as inefficient and ineffective solutions, causing more harm than benefits to society.