Give an example of something that is scarce in your life and explain the choices you've made because of scarcity.
What will be an ideal response?
Responses are numerous and will vary by students.
You might also like to view...
Higher U.S. interest rates cause the value of the dollar to
A) rise, making U.S. goods relatively cheaper on world markets. B) fall, making U.S. goods relatively cheaper on world markets. C) rise, making U.S. goods relatively more expensive on world markets. D) fall, making U.S. goods relatively more expensive on world markets.
Other things remaining the same, if a nation's expected price level rises, the demand to hold money:
a. Falls. b. Rises. c. Does not change.
It has been observed that a change in monetary policy in the United States
A) has little or no effect on foreign markets. B) leads to corresponding changes in other countries. C) has only short run influences. D) impacts net exports.
The downward slope of a demand curve
A) represents the law of demand. B) shows that as the price of a good rises, consumers increase the quantity they demand. C) indicates how the quantity demanded changes when incomes rise and the good is a normal good. D) indicates how demand changes when incomes rise and the good is a normal good. E) indicates how demand changes when the price changes and the good is a normal good.