Which Does NOT Explain Why the 1997-2006 Housing Boom Increased

question 174

Multiple Choice

Which does NOT explain why the 1997-2006 housing boom increased aggregate demand?

• A) The construction sector created new employment and higher wages.
• B) Homeowners felt wealthier as they saw their homes rising in value every year.
• C) Homeowners tended to spend more money and even borrow money,hoping that rising wealth from the home values will let them repay the money in the future.
• D) During the boom,some builders were working 60 or 80 hours a week instead of 40.

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Definitions:

Median

A statistical measure that represents the middle value in a given series of numbers, dividing the dataset into two equal halves.

Mode

The value that appears most frequently in a data set, representing the most common outcome.

Variation

The occurrence of differing or changing characteristics within a species, population, or process, often leading to evolutionary adaptations or improvements in a species’ ability to survive.

Correlation Coefficient

A numerical measure that indicates the extent to which two variables fluctuate together.