Explain how the asset-price channel of monetary policy works in real estate markets.
What will be an ideal response?
When policymakers lower the short-term interest rates this usually leads to a reduction in mortgage rates. A decrease in mortgage rates usually leads to greater demand for residential housing driving up the price of existing homes. This can also lead to greater consumption if it causes homeowners to free up some of the equity in their homes for other spending.
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Refer to Table 9-15. Looking at the table above, real average hourly earnings were equal to ________ in 2015
A) $9 B) $9.52 C) $10 D) $12
A gross estate is all of the taxable assets of a person at the time of death.
A. True B. False C. Uncertain
Explain the difference between economic and normal profits
What will be an ideal response?
Unemployment that results from technological changes that renders some people's skills obsolete is called: a. frictional unemployment. b. cyclical unemployment
c. structural unemployment. d. seasonal unemployment.