How is residential investment related to housing prices, Macroeconomics

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How is residential investment related to housing prices

Problem

1. Why do firms hold inventories and why is their inventory investment a matter of interest to macroeconomists?

2. What is Tobin's q? How does it provide a theory of investment spending?

3. How are Tobin's q theory and the neoclassical theory of investment related?

4. How is residential investment related to housing prices?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Macroeconomics: How is residential investment related to housing prices

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