What Does a Demand Curve Show

question 53

Multiple Choice

What does a demand curve show?

• A) the relationship between income and quantity demanded
• B) the relationship between price and income
• C) the relationship between price and quantity demanded
• D) the relationship among income, price, and quantity demanded

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Definitions:

Political Risk

In international business, the chance that the value of a firm’s investment in a foreign country will be reduced by political actions of either the foreign government or terrorists.

Exchange Rate Risk

The risk that international trade dealings will earn less than expected because of movement in exchange rates.

Economic Risk

The possibility of loss caused by macroeconomic or market conditions, such as changes in interest rates or recessions.

Forward Rate

The agreed upon exchange rate for a currency transaction that will occur at a future date.