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This Note presents the results of a four-month RAND study undertaken to provide the City of Los Angeles with technical assistance in preparing an Environmental Impact Report relating to a permanent rent control law. Using current data and theory, the Note estimates the impact of the existing rent control law on the supply of rental housing services in Los Angeles and the extent of secondary effects. It also estimates the impact of several alternative policies the city might adopt after the current law expires in 1982. Section II discusses the characteristics of and trends in the Los Angeles housing market. Section III reviews the history and nature of the Los Angeles rent control law, comparing it with other rent control laws in the Los Angeles region and in the nation, and also discusses alternatives to the current Los Angeles law. Section IV analyzes the primary impact of those alternatives. Section V analyzes the secondary impacts. Conclusions, presented in the last section, take the form of year-by-year effects of alternative rent control laws.

This report is part of the RAND Corporation Note series. The note was a product of the RAND Corporation from 1979 to 1993 that reported other outputs of sponsored research for general distribution.

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