When we look at inflation-adjusted home prices in the U.S.from 1910-2010, we see that
A)in real terms homes were more expensive in the 1930s than in the 1990s
B)the sharpest increase in home prices occurred right after World War II
C)the sharpest increase in home prices occurred from the late 1990s to about 2006
D)from 2000-2006, nominal housing prices increased sharply but real housing prices decreased slightly
E)none of the above

Question

Quizplus · Accepted Answer

According to the information provided, the sharpest increase in home prices occurred from the late 1990s to about 2006. This means that option C is the correct answer. Option A is incorrect because it states that homes were more expensive in the 1930s than in the 1990s, which contradicts the information provided. Option B is incorrect because it states that the sharpest increase occurred right after World War II, which is not supported by the information given. Option D is incorrect because it states that nominal housing prices increased sharply but real housing prices decreased slightly from 2000-2006, whereas the information provided indicates that real housing prices increased sharply during that time.

When We Look at Inflation-Adjusted Home Prices in the U