ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Demand Decrease: price decreases, quantity decreases. Supply Increase: price decreases, quantity increases.

Detailed explanation-2: -The strong dollar and US asset prices That’s because the dollar has an inverse correlation with the main US stock market – as the dollar rises, stocks tend to fall. Company earnings – while the US dollar’s mega cycle could be a result of economic might, the strong dollar could hurt companies at home.

Detailed explanation-3: -If you feel the stock has fallen because the market has overreacted to something, then buying more shares may be a good thing. Likewise, if you feel there has been no fundamental change to the company, then a lower share price may be a great opportunity to scoop up some more stock at a bargain.

Detailed explanation-4: -When the dollar strengthens, commodities become more expensive in other, nondollar currencies. This effect tends to have a negative influence on demand, and as you would expect, when the dollar weakens, commodities prices in other currencies drop lower, which increases demand.