What Happens to a Resource as It Becomes Scarcer

question 68

Multiple Choice

What happens to a resource as it becomes scarcer?

• A) The price rises and this increases the future supply relative to demand.
• B) The price rises and this increases the future demand relative to supply.
• C) The price falls and this increases the future supply relative to demand.
• D) The price falls and this increases the future demand relative to supply.

---

Definitions:

Negotiability

The ability of a document or instrument to be legally and freely transferred from one party to another.

Instrument Dishonored

A legal term for when a negotiable instrument (like a check or promissory note) is not honored or paid upon presentation.

Insufficient Funds

A situation where an account does not have enough money to cover transactions, leading to declined payments or penalties.

Delivery

In contract law, the process of transferring the possession of a good or document from one party to another, completing the transaction.