Final answer:
New construction in a community can impact property values, causing them to either rise or fall depending on the type and purpose of the construction.
Step-by-step explanation:
The impact of new construction in a community on property values depends on the type and purpose of the construction. Home prices in the neighborhood can either rise or fall. For example, if a local employer announces that it plans to hire many more people or the city announces the construction of a park or a library in the neighborhood, home prices will likely rise immediately. On the other hand, if the construction is undesirable or leads to negative externalities, such as increased traffic or noise pollution, home prices may decrease. Therefore, option B) property values will move depending on the type and purpose of construction is the most accurate answer.