Posted by Karol Goney on Friday, November 13, 2009 at 9:37am.
Think of some major items that affect the demand for housing and some factors that affect the supply of housing.
Affecting demand include:
- quality of schools,
- Income levels,
- Population levels,
- proximity to labor centers,
- transportation infrastructure,
- quality of public services,
- crime levels,
- property taxes, income taxes, etc.
- etc.
Affecting supply include:
- Zoning regulations
- Building code regulations,
- access to building supply materials
- Wage rates of local labor
Start with an initial supply and demand graphs. Then change one of the above factors. (e.g., demand curve shifts or supply curve shifts) What happens to housing prices? What happens to quanty?
For extra credit, distinguish between short term and long term. (It generally takes 6 months+ build a new house.)
Lotsa luck
Related Questions
college - Explain why housing prices vary from city to city. Clearly explain ...
onomics - Explain why housing prices vary from city to city. Clearly explain how...
macroeconomics - slides of your preferred city to relocate with your reasoning ...
Microeconomics - I am having a hard time answering these questions. I just need ...
Economics - Consider a monocentric city in which the cost of commuting is $10 ...
home economics - explain how supply and demand effect the prices of homes and be...
Microeconomics - Explain how the supply of new housing interacts with shifts in ...
Public Finance - Your state has a retail sales tax of 10 percent but it exempts ...
MICROECONOMICS - This is really long but i really need help!! THX In 1973, there...
Economics - What are some national fiscal policies that can affect mortgage ...
For Further Reading
