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You notice that when interest rates increases, new residential housing prices tend to decrease. This ...

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You notice that when interest rates increases, new residential housing prices tend to decrease. This ...

You notice that when interest rates increases, new residential housing prices tend to decrease. This observation indicates that
A) there must be false causality between interest rates and housing prices.
B) higher interest rates must cause low housing prices.
C) a scatter diagram between interest rates and housing prices will show a negative relationship.
D) a scatter diagram between interest rates and housing prices will show a direct relationship.

Textbook

Foundations of Finance

Edition: 9^th

Authors: Keown, Petty, Martin

Read 28 times

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samualson Author

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5 years ago

found this very helpful thank you

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