SSEMI3 b. Explain and illustrate on a graph how price floors create surpluses and price ceilings creates shortages.
No problem right? You simply pop in your Stossel DVD, the one you scored at the one-day high school Micro workshop you attended last semester, and you let John do the rest. He talks about the sweet deals that Woody Allen, Carly Simon, Kim Alexis and Alistair Cooke had, shows the decrepit looking buildings in the Bronx and throws in a Walter Williams interview for good measure. Everything explained in just a few short minutes!
Well what are you going to do if your students want to dig a little deeper, and you know they will, into the whole rent control mess. What you do is have them start looking here and then have them read this interesting piece. John Burke likes paying a mere $288 a month but his landlord sure doesn't want to dump any money into fixing the place up because there is simply no incentive to do so. Incentives matter.