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that the"Cumulative Deficit'i'line has its own gross rent head%ngs - each figure represents a deficit in all units with .rents less than a given rent. The figure~ in Table V-17 represent a theoretical picture of need based on the assumption that all renter house- holds will pay the "standard" percentage of income for rent and none will pay less than that. 9~0 o~ c6ur~, l~ · · highly unrealistic picture of what happens in a free market where households compete for units. As is clearly shown in Table V-16, upper income renter.households customarily pay substantially less than the "standard" pencentages of'twenty or twenty-five percent of income for rent. If units needed to reduce "overpaying" are t~ be made available without displacing households paying less than the "standard" per- centage of income for rent - and having them move to a higher rent unit - then allowance must be made for the renter house- holds which pay less than the percentage~ of income on which Table V-17 is bas. ed. Careful interpretation'of the "Difference" and "Cumui~- :. tire Deficit" lines in Table V-17 with "Comparison" sections is necessary. For example, in Santa Ana the "Difference" lines show surpluses in the units in each rental bracket between $80 - $99 and $150 - $199 and deficits in the Under $40, $40-$59, $60-$79, and $200 or More rent categories. The fact that there were fewer $200 or More units in 1970 than there were renters who.could "afford" such units does not mean there was a shortage of high rent units. All households can be considered to want to spend as low a percentage of their income for rent as.they can while still obtaining the- type of housing they desire. These two goals are incompatible, but higher income households in resolving this problem can and normally do spend less for rent than the percentages of income on which the tables are based. Supply and demand factors are normally in relative balance in the highest priced rental housing and Table V-17 cannot be cited as a basis for saying there is an unmet need for units renting ~or more than $200. In the lower rental Categories which in the "Difference" line show surpluses, such as between $80 and $120 gross rents, the apparent surpluses are also illusory as can be seen in the cnmulat~ve deficit figures below them. Thgs? surpluses would exist only ~f the specified needed lower rent un~ts'existed. In Santa Ana, since there were only about 69 instead of about 2,467 units renting for under $40, and also a large shortage of ~40-59 units, there in fact was also a shortage of middle rent units in the sense that there were many households whose need for lower rental units could be partially met by the availability of more units renting for $60 to $120. For example, to the household that was paying $100 a month.for rent but needed a $50 unit, the availability of a suitable $70 unit would have been a substantiai benefit. In other 000097