S3 3.3

Question 1

What is fundamental analysis?

Answer 1

Study of the factors that affect supply and demand of underlying commodities

Question 2

What causes commodity prices to escalate?

Answer 2

Political and economic instability

Question 3

Supply Elasticity

Answer 3

How changes in price affect supply

Question 4

Demand Elasticity

Answer 4

How changes in price affect the demand for a commodity

Question 5

Which federal policies affect prices?

Answer 5

Taxes, monetary policy, agricultural policy