The demand for houses decreases, all else equal, when

A) wealth increases.
B) real estate prices are expected to increase.
C) stock prices become more volatile.
D) gold prices are expected to increase.

D

Economics

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When the Fed buys $100 million of securities from a commercial bank the

A) required reserve ratio decreases. B) monetary base increases. C) bank's reserves decrease. D) bank is risking its depositors' money. E) money supply decreases.

Economics

Suppose the probability of an employee being caught shirking, q, is a function of the employer's monitoring, M, such that q = M/100

If workers must put up a $1,000 bond and the gain to each worker from shirking is $100, what is the employer's optimal level of monitoring that is just sufficient to discourage shirking?

Economics