We examine the relation between rent control and prices of owner occupied housing in the presence of different qualities of housing. While a rent ceiling and the price of condominiums are substitutes if housing is undifferentiated, it is shown that this is not necessarily the case when housing differs in quality. A complete dismantling of rent-control may in fact increase the price of condominiums.
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Paper provided by Stockholm University, Department of Economics in its series Research Papers in Economics with number
1997:7.
Length: 16 pages Date of creation: 06 May 1998 Date of revision: Publication status: Published in Scandinavian Journal of Economics, 2000, pages 213-222. Handle: RePEc:hhs:sunrpe:1997_0007
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