A person who prefers a certain payoff over an uncertain one with the same expected value is risk-averse.

If the dollar price of one South African rand (ZAR) increases from $0.076 in 1999 to $0.083 in 2003, we can say that the reciprocal exchange rate moved from:

a. $1 = ZAR 13.2 in 1999 to $1 = ZAR 12.0 in 2003. b. $1 = ZAR 12.0 in 1999 to $1 = ZAR 13.2 in 2003. c. $1 = ZAR 0.076 in 1999 to $1 = ZAR 0.083 in 2003. d. ZAR 1 = $0.083 in 1999 to ZAR 1 = $0.076 in 2003. e. $1 = ZAR 176 in 1999 to $1 = ZAR 183 in 2003.

In an efficient market, a scarce good generally has a ____ than a less-scarce good

a. higher price b. higher total utility to consumers c. more even distribution across income classes d. lower price in off-peak periods