Question
Would you be more or less willing to buy a house under the following circumstances? a. You would be (less, more) willing to buy a
Would you be more or less willing to buy a house under the following circumstances?
a. You would be (less, more) willing to buy a house if you just inherited$100,000 because ( you now have more money to just buy stocks and bonds, the money inherited can only be spent buying a house, you now have more wealth to spend on all assert)
b. You would be (less, more) willing to buy a house if real estate commissions rise from 5% of the sales price to 6% of the sales price because ( the house becomes less liquidity, houses are always good investments, the house has become more liquid).
c. You would be (more, less) willing to buy a house if you expect BlackBerry stock tolosehalfits value next year because (the stock will probably lose you a large amount compared to the house, investment choices about stocks should not influence housing decisions, houses are the best investment)
d. You would be (less, more) willing to buy a house if prices in the stock market become less volatile because (stocks have become relatively less risky, stocks have become relatively more risky, stocks are always a good investment)
e. You would be (more, less) willing to buy a house if you expect housing prices to rise because (houses are always a good investment, the return on houses will be negative, the return on houses will be positive)
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