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In the real estate space market, when the demand curve intersects the supply cur...

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In the real estate space market, when the demand curve intersects the supply curve above the replacement cost of rent, developers will:

Not build new property as rents are falling.

0%

Be indifferent to building property as they will break even.

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Build new property as rents have stabilized.

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Build new property as it is profitable to do so.

100%

Not build new property as it is unprofitable to do so.

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