Society, Politics & Law
60 second adventures in economics: Rational Choice Theory
...humans are a rational lot. When the price of something rises people will supply more of it – and buy less of it. If they expect inflation to go up – people will usually ask for higher wages – (though they might not get them) And if they can see interest or exchange rates falling in one country, people with lots of money there will try to move it out, faster than you...