Figure 3-7 -Refer to Figure 3-7.Assume That the Graphs in This Figure

question 202

Multiple Choice

Figure 3-7
-Refer to Figure 3-7.Assume that the graphs in this figure represent the demand and supply curves for coffee.What happens in this market if buyers expect the price of coffee to rise?

• A)Panel (a)
• B)Panel (b)
• C)Panel (c)
• D)Panel (d)

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Definitions:

Dollar

The basic monetary unit used in the United States and other countries, symbolized by $.

Exports

Goods or services produced in one country and sold to buyers in another country.

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Refers to a component of a country's balance of payments that records investments and financial transactions, including investments in foreign securities and direct investments.

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The capital account records the exchanges of financial assets and liabilities between a country and the rest of the world, including direct investment and loans.