Unformatted text preview: cities such as Washington DC, Miami, and New York. 3. What are the implications for the economy when new home sales increase? The implications for the economy are enormous. New- home sales more than 901,000 new-single family homes in 2001 alone-pump up homebuilders and create demand for lumber, carpeting, washing machines, furniture, and the other things that go into homes. Perhaps more important, rising housing wealth, which increased by roughly $ 1 trillion in 2001, puts money into consumers’ pockets by means of home equity loans and mortgage refinancing. That in turn fuels consumer spending....
View Full Document
- Spring '10
- Accounting, new home sales, John Burgos