Which of the following statements is most correct?
A)Capital formation was $1.6 trillion in 2009 up from $2.2 billion for 2006 largely due to the steep rise in home prices; in addition, the change in private inventories for 2009 was -$125 billion reflecting the severity of the financial crisis of 2007-09.
B)Capital formation was $1.6 billion in 2009 down from $2.2 trillion for 2006 largely due to the steep decline in home prices; in addition, the change in private inventories for 2009 was +$125 billion reflecting the severity of the financial crisis of 2007-09.
C)Capital formation was $1.6 trillion in 2009 down from $2.2 trillion for 2006 largely due to the steep decline in home prices; in addition, the change in private inventories for 2009 was -$125 billion reflecting the severity of the financial crisis of 2007-09.
D)Capital formation was $1.6 million in 2009 down from $2.2 million for 2006 largely due to the steep decline in home prices; in addition, the change in private inventories for 2009 was -$125 million reflecting the severity of the financial crisis of 2007-09.
E)none of the above.

Question

Quizplus · Accepted Answer

Option C accurately states that capital formation was $1.6 trillion in 2009, down from $2.2 trillion for 2006, largely due to the steep decline in home prices. Additionally, the change in private inventories for 2009 was -$125 billion, which reflects the severity of the financial crisis of 2007-09. Option A and B have incorrect values for capital formation, and option D has incorrect values for both capital formation and the change in private inventories. Therefore, option C is the correct choice.

Which of the Following Statements Is Most Correct