Question 1

The principle of substitution is basic to all three approaches to value.

Accepted Answer

A) True 
 B)False

Question 2

The broad forces affecting value are physical, social, economic and political in nature.

Accepted Answer

A) True 
 B)False

Question 3

Demand and scarcity are both essential elements of value.

Accepted Answer

A) True 
 B)False

Question 4

A strong demand can be effective without purchasing power.

Accepted Answer

A) True 
 B)False

Question 5

The principle of highest and best use suggests that land must always be valued in its
present use.

Accepted Answer

A) True 
 B)False  False

Question 6

The agents of production are responsible for both tangible and intangible benefits of real estate.

Accepted Answer

A) True 
 B)False  True

Question 7

High valued properties are not generally affected by the proximity of lower valued ones.

Accepted Answer

A) True 
 B)False

Question 8

Environmental protection and subdivision reform laws affect the availability and cost of vacant land.

Accepted Answer

A) True 
 B)False  True

Question 9

Disposable income is the amount of family income available after paying rent or other housing costs.

Accepted Answer

A) True 
 B)False

Question 10

Zoning is one of the economic forces affecting value.

Accepted Answer

A) True 
 B)False

Exam 5: Real Estate Economics and Value

The principle of substitution is basic to all three approaches to value.

Correct Answer
verified

The broad forces affecting value are physical, social, economic and political in nature.

Correct Answer
verified

Demand and scarcity are both essential elements of value.

Correct Answer
verified

A strong demand can be effective without purchasing power.

Correct Answer
verified

The principle of highest and best use suggests that land must always be valued in its present use.

Correct Answer
verified
False

The agents of production are responsible for both tangible and intangible benefits of real estate.

Correct Answer
verified
True

High valued properties are not generally affected by the proximity of lower valued ones.

Correct Answer
verified

Environmental protection and subdivision reform laws affect the availability and cost of vacant land.

Correct Answer
verified
True

Disposable income is the amount of family income available after paying rent or other housing costs.

Correct Answer
verified

Zoning is one of the economic forces affecting value.

Correct Answer
verified

Exam 5: Real Estate Economics and Value

The principle of substitution is basic to all three approaches to value.

Correct AnswerverifiedShow Answer

The broad forces affecting value are physical, social, economic and political in nature.

Correct AnswerverifiedShow Answer

Demand and scarcity are both essential elements of value.

Correct AnswerverifiedShow Answer

A strong demand can be effective without purchasing power.

Correct AnswerverifiedShow Answer

The principle of highest and best use suggests that land must always be valued in its present use.

Correct AnswerverifiedFalse

The agents of production are responsible for both tangible and intangible benefits of real estate.

Correct AnswerverifiedTrue

High valued properties are not generally affected by the proximity of lower valued ones.

Correct AnswerverifiedShow Answer

Environmental protection and subdivision reform laws affect the availability and cost of vacant land.

Correct AnswerverifiedTrue

Disposable income is the amount of family income available after paying rent or other housing costs.

Correct AnswerverifiedShow Answer

Zoning is one of the economic forces affecting value.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
False

Correct Answer
verified
True

Correct Answer
verified

Correct Answer
verified
True

Correct Answer
verified

Correct Answer
verified