The Economic Way of Thinking 13th Edition by David Prychitko, Peter Boettke, Paul Heyne

Exercise 8

Your grandmother heard you were studying economics and decided to make use of your knowledge. She is selling her house and wants to know what price to ask for her well-kept house in a growing neighborhood. You need more information: What did it cost her? She says it cost $20,000 forty years ago. With these givens, advise her on her asking Price.