Declines in Housing Prices in the United States in the Late

Multiple Choice

Declines in housing prices in the United States in the late 2000s ________.

A) led to consumers having lower mortgages and hence higher disposable incomes
B) decreased the wealth of consumers, leading to decreased consumption spending
C) increased the wealth of investors, leading to higher investment spending
D) led to banks having higher net worth, and hence being more willing to lend