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kotegsom [21]
3 years ago
9

How would​ keynes's concept of animal spirits explain the creation of a housing​ bubble?

Social Studies
1 answer:
Sonbull [250]3 years ago
8 0
People regarded a house as a good investment which paved the way to an increased demand for housing as well as increasing the prices. This gave confirmation to people that housing was a good investment which led to the increase in demand and resulted to an upward spiral driven by positivity.<span> </span>
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It encompasses the knowledge and it is higher-level processing in which imagination, language, planning, and perception are involved. Many of the psychologists think that people acquire knowledge through observation and perception.

In this process when a person sees any object, hear any voice will transform that information into signals and that person's brain can take that cue and can act upon that cue. Thus in above statement cognitive process play a role in ope-rant behavior

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