Which of the following does NOT explain Candice Butts Macro economics

Question 55 / 142: Which of the following does NOT explain why the 1997–2006 housing boom increased aggregate demand?

A During the boom, some builders were working 60 or 80 hours a week instead of 40.

B Homeowners felt wealthier as they saw their homes rising in value every year.

C The construction sector created new employment and higher wages.

D Homeowners tended to spend more money and even borrow money, hoping that rising wealth from
the home values will let them repay the money in the future.

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Macroeconomics MCQ

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Candice Butts

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