Answer: Given these two changes, we can predict the price of real estate will FALL and the quantity of real estate bought and sold will fall if the demand decrease is larger than the supply increase.
The correct answer is "a) fall; fall if the demand decrease is larger than the supply increase".
Explanation: A decrease in the income of local households indisputably causes households to consume less, that is, a decrease in demand, when the construction of a subdivision of houses is completed, there is an increase in the supply of real estate, to know if the amount of real estate purchased and sold will be greater or lesser, we must know how much the demand decreased and how much the supply increased, since if the demand decrease is larger than the supply increase the amount will be smaller, and if the supply increase is greater than the decrease of the demand the amount will be greater.