--%>

Lowers mortgage payments on interest rate

When interest rates fall and this lowers mortgage payments therefore homebuyers can afford to buy more costly houses, the predictable increase within housing prices is most directly a symptom of: (i) capitalization. (ii) a speculative bubble in the housing market. (iii) national economic prosperity. (iv) securitization. (v) rational expectations and efficient markets.

Please choose the right answer from above...I want your suggestion for the same.

   Related Questions in Microeconomics

  • Q : Optimal market solution of marginal

    From society’s point of view, an optimal market solution is attained while: (w) everyone’s income is equal. (x) all goods are given in the economy. (y) marginal social costs only equal marginal social benefits. (z) consumer surplus equals

  • Q : Annual total costs of production When

    When Prohibition Corporation maximizes profit into its production of St. Valentine’s Day software, there annual total costs of it will be around: (1) $180 million. (2) $140 million. (3) $100 million. (4) $80 million. (5) $40 mil

  • Q : Describing monopoly Illustrate the term

    Illustrate the term monopoly?

  • Q : Advantages of regional integration Give

    Give the basic advantages of regional integration?

  • Q : Define production function Production

    Production function: This refers to the functional relationship among inputs and outputs.

  • Q : Accused of predatory pricing in

    Wal-Mart business practices have been criticized like destroying small town America. Therefore argument is that Wal-Mart will build a new store and firstly set prices so low that they ultimately drive off all rival businesses. As per its foes, after their rivals move

  • Q : Determine constant slope of demanded

    The slope of this illustrated figure of demand curve for DVD games is: (w) constant. (x) greater at high prices than at low prices. (y) lower at low prices than at high prices (z) unitarily elastic.

    Q : Profit maximization and maximization of

    Give the difference between corporate profit maximization and maximization of shareholder wealth?

  • Q : Monopoly competition and perfect

    Write down the differentiations between monopoly competition and perfect competition?

  • Q : Predictable results of unexpected

    Predictable results of unexpected development of demand for a competitively produced good comprise increases and in that case gradual decreases in the: (w) price of the good and the profits of producers. (x) consumer surplus derived from the good. (y)