1. Suppose that you have $9000 and want to invest the money for one year. There are three existing options. a) The city of Richmond is selling bonds at $90 per unit. The bonds pay $100 at the end of one year when they mature (no other cash flow) b) Put the money under your mattress. c) The one-year interest rate of saving in the Scotia Bank is 8%. Which one will you choose? What is the opportunity cost of your choice? Explain

2. What are the two subfields into which economics is divided? Explain what each subfield studies.

3. Distinguish between normal and inferior goods