How Are Housing Starts, or New Construction, Used to Gauge

question 18

Multiple Choice

How are housing starts, or new construction, used to gauge the national economy?

• A) Construction of apartments instead of single family homes indicates less money available in the economy.
• B) Declines in housing starts are often one of the first signs of an approaching economic downturn.
• C) Building supplies are the most profitable industry in the nation.
• D) Decreases in demand for single-dwelling homes usually indicate a higher demand for condominiums and other multiunit construction.
• E) Decreases in the average price of new homes indicate a strong economy.

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Definitions:

Save Face

The act of striving to maintain one's dignity, honor, or reputation in the face of embarrassment or shame.

Channel Factors

Channel factors refer to situational or environmental elements that significantly influence the likelihood of behavior change by facilitating simple and small modifications in the environment.

Loss of Control

The inability to manage one's actions or reactions, often leading to negative consequences.

Reactance

A psychological reaction that occurs in response to perceived restrictions on one’s freedoms or choices, leading to a motivation to regain freedom.