Find all School-related info fast with the new School-Specific MBA Forum

 It is currently 29 Aug 2016, 11:15

### GMAT Club Daily Prep

#### Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# When housing prices climb too quickly, the Federal Reserve

 new topic post reply Question banks Downloads My Bookmarks Reviews Important topics
Author Message
TAGS:

### Hide Tags

Senior Manager
Joined: 17 Mar 2009
Posts: 309
Followers: 8

Kudos [?]: 433 [0], given: 22

When housing prices climb too quickly, the Federal Reserve [#permalink]

### Show Tags

15 Aug 2009, 02:18
1
This post was
BOOKMARKED
00:00

Difficulty:

15% (low)

Question Stats:

83% (01:31) correct 17% (00:48) wrong based on 125 sessions

### HideShow timer Statistics

When housing prices climb too quickly, the Federal Reserve often responds by raising the key interest rate, which has the curious effect of actually lowering housing prices instead of raise them, as one might expect.

A) which has the curious effect of actually lowering housing prices instead of raise them

B) an action that has the curious effect of actually lowering housing prices rather than raising them

C) which has the curious effect of actually lowering housing prices instead of raising them

D) which rather than raising housing prices actually has the curious effect of lowering them

E) an action that has the curious effect of actually lowering housing prices instead of raise them
[Reveal] Spoiler: OA

Last edited by Vyshak on 05 May 2016, 22:32, edited 1 time in total.
Updated OA
Senior Manager
Joined: 25 Jul 2009
Posts: 330
Followers: 1

Kudos [?]: 78 [1] , given: 0

Re: When housing prices climb too quickly, the Federal Reserve [#permalink]

### Show Tags

15 Aug 2009, 04:40
1
KUDOS
only option B used rather than and parallel; makes life easy
Director
Joined: 01 Aug 2008
Posts: 769
Followers: 4

Kudos [?]: 514 [0], given: 99

Re: When housing prices climb too quickly, the Federal Reserve [#permalink]

### Show Tags

15 Aug 2009, 05:03
'which' refers to 'the key interest rate' ..so A, C and D gone ..

now in B and E ... you use 'rather than' to compare clauses ..so only B is doing that ..

IMO B.
Manager
Joined: 17 Jul 2011
Posts: 93
Followers: 1

Kudos [?]: 0 [0], given: 1

Re: When housing prices climb too quickly, the Federal Reserve [#permalink]

### Show Tags

19 Dec 2011, 01:42
B

which refer to immediate noun thats why "an action" is required...
rather than is preferred over instead of
Senior Manager
Joined: 12 Oct 2011
Posts: 272
Followers: 0

Kudos [?]: 41 [0], given: 110

Re: When housing prices climb too quickly, the Federal Reserve [#permalink]

### Show Tags

05 Jan 2012, 07:07
Simple one. B it is. The "raising of the key interest rate", NOT "the key interest rate" itself, has the "curious effect...".
Only B and E convey the proper meaning.
B maintains parallelism and E does not.
B is the answer.
_________________

Consider KUDOS if you feel the effort's worth it

GMAT Club Legend
Joined: 01 Oct 2013
Posts: 9301
Followers: 807

Kudos [?]: 165 [0], given: 0

Re: When housing prices climb too quickly, the Federal Reserve [#permalink]

### Show Tags

01 Jul 2016, 21:38
Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.
Re: When housing prices climb too quickly, the Federal Reserve   [#permalink] 01 Jul 2016, 21:38
Similar topics Replies Last post
Similar
Topics:
46 The Federal Reserve announcement said 20 20 Nov 2013, 18:47
15 The Federal Reserve bond buyback 13 18 Jul 2013, 11:32
Both the Federal Reserves decision that borrowing rates be 4 22 Oct 2006, 22:07
Since February, the Federal Reserve has raised its 8 18 Oct 2006, 07:11
Since February, the Federal Reserve has raised its 14 04 Sep 2006, 23:40
Display posts from previous: Sort by

# When housing prices climb too quickly, the Federal Reserve

 new topic post reply Question banks Downloads My Bookmarks Reviews Important topics

 Powered by phpBB © phpBB Group and phpBB SEO Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.