Yeah, that’s the economics 101 answer. The same textbook will mention, in a footnote, that solving their system of equations will show that, at equilibrium, no

Yeah, that’s the economics 101 answer. The same textbook will mention, in a footnote, that solving their system of equations will show that, at equilibrium, no company makes a profit. To be slightly more specific in my criticism, there are plenty of economies with far more protections for tenants, even non-paying ones, and they tend to have similar or lower rates of homelessness. The effect on tenant selection would also not manifest in the current situation, where it’s a measure used once for a rather rare situation. And even if landlords were to try to avoid such risks, it isn’t clear how that would differ from the status quo? Presumably, they have always chosen the more financially secure tenant when given a choice.