In Questions Make the Assumption That the Change in Housing

question 80

Multiple Choice

In Questions make the assumption that the change in housing prices exactly matches the change in the CPI. In fact, housing is only part of the CPI, and figures into the CPI through rents rather than sale prices, so this assumption may be far from correct.
-Kim sold a house in 1993 for twice the amount that he paid for it. When did he purchase the house? (Use Table 21.5.)

• A) 1973
• B) 1977
• C) 1979
• D) 1980

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