What Makes Defining Abnormality Difficult

question 103

Multiple Choice

What makes defining abnormality difficult?

• A) Criteria for abnormality have yet to be developed.
• B) There is not a clear dividing line that serves to distinguish different behavior from that which is abnormal.
• C) There are so many types of abnormal behavior that they can't be accurately described.
• D) Most of us are abnormal much of the time.

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Definitions:

Bubble

An economic condition characterized by the rapid escalation of asset prices followed by a contraction when the price increases are not supported by fundamentals.

Housing Prices

denote the value assigned to residential properties and homes, which fluctuate based on factors like location, demand, economic conditions, and interest rates.

Housing Bubble

An economic condition characterized by rapid increases in the valuations of real property until they reach unsustainable levels followed by a sharp decline.

Real Terms

Values adjusted for inflation, reflecting the actual purchasing power.