I made the same mistake as you did, but after giving serious thought, I
think C is wrong mainly because of the adv. slowly in C, because the
question is how to explain the sharp rise, if C is right, then we need to
find another to explain why suddenly the price rise change from slowly to
sharp. Also A gives the explanation that because of the price of new house
sold has been segmented into two parts, then one of the parts happen to
rise in terms of price, while the overall quantity falls.
don't know whether I have explained clearly? |