Based on the dividend-discount model, what do you think would happen to stock prices if there were an increase in the perceived riskiness of domestic real estate purchases? If investors perceive domestic real estate purchases are more risky, then the relative riskiness of stocks will (fall/rise). Stocks would become relatively (less/more) attractive, requiring a (smaller/larger) risk premium than before. From the dividend-discount model, we can see that a (fall/rise) in the risk premium would lead to a (fall/rise) in stock prices.