When the housing bubble collapsed, _____.

Question

Quizplus · Accepted Answer

The housing bubble collapse resulted in a decrease in home values, which caused a significant decrease in household wealth. The median household's wealth, which represents the typical household, fell by 40% because half of the households experienced even more significant wealth declines. The mean household's wealth, which represents the average household, may have also fallen by 40%, but it would have been influenced by extremely wealthy households whose wealth did not decrease as dramatically. However, data is not provided to indicate that the mean household's wealth increased by 15%, so options B, C, and D are not correct.

When the Housing Bubble Collapsed, _____