Proposed regulations under section 2032 of the Code clarify that the election to use the alternate valuation method is available to estates that qualify under section 2032(c) and that experience a reduction in the value of the decedent’s gross estate due to market conditions. The regulations also define the term “market conditions,” clarify that post-death events may not be taken into account in valuing the gross estate on the alternate valuation date, and provide examples, which are not intended to be exclusive.