When People Became Less Concerned with the Underlying Value of Their

question 135

Multiple Choice

When people became less concerned with the underlying value of their houses and instead focused on the expectations of the prices of their houses increasing,________ occurred.

• A)stagflation
• B)an automatic destabilizer
• C)a housing bubble
• D)a supply shock

---

Definitions:

Freely Interacting

This refers to the process or state where individuals or groups communicate and collaborate without significant restrictions, barriers, or formal structures.

Mutually Beneficial

A situation or agreement where all parties involved gain benefits or advantages from the relationship or transaction.

Informal Group

A group formed naturally within an organization based on personal relationships or shared interests rather than organizational structure.

Groupthink

A mental effect found in a group setting where the preference for unity or agreement leads to illogical or ineffective choices.