Recall the Application about Hurricane Katrina and housing prices to answer the following question(s) .
After Hurricane Katrina, about 250,000 New Orleans residents relocated to Baton Rouge, Louisiana, and as
a result, housing prices in Baton Rouge rose from an average of $130,000 for a single -family home to
$156,000 six months later. Just prior to the hurricane, 3,600 homes were listed for sale in Baton Rouge, and
a week after the hurricane only 500 homes were listed for sale.
-According to this Application, after Hurricane Katrina, demand for housing _______ in Baton Rouge, shifting the demand curve to the _______.
A) increased; right
B) increased; left
C) decreased; right
D) decreased; left
Correct Answer:
Verified
Q142: Explain what will happen to the equilibrium
Q144: Recall the Application about the decline in
Q146: Recall the Application about Hurricane Katrina and
Q147: When supply increases, and the supply curve
Q147: Recall the Application about the decline in
Q148: Explain what would happen to the equilibrium
Q151: Recall the Application about the changes in
Q154: Recall the Application about the changes in
Q163: When supply decreases and the supply curve
Q171: Explain what will happen to the equilibrium
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