After watching Economists in the Wild featuring Orley Ashenfelter's research on how to buy wine, answer the questions below. 1. Which of the following predicts the prices of older, mature wines?A) Dry summersB) Humid summersC) Cold wintersD) Cool summers2. Which vintage of wine sold for the highest auctioned amount in 1989? A) 1963B) 1966C) 1967D) 19693. What do you notice about the auction prices of vintages 1966 and 1969 in 1972 vs in 1989? 4. If you were purchasing wine in 1972 and knew what the prices of wine would be in 1989, which is the worst investment? A) 1963B) 1965C) 1967D) 1969

Table 3 - Price per Case of a Portfolio of Bordeaux Chateaux Relative to the Price of the Portfolio for the Vintages of 1961, 1962, and 1966 Year of Benchmark Sale Portfolio" Vintage 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 1972 1971 E54 1.68 0.79 0.41 0.76 0.79 1972 197 1.58 0.76 0.26 0.70 0.27 0.96 0.77 0.75 1973 E119 1.62 0.71 0.28 0.74 0.24 0.93 0.62 0.28 0.70 0.83 1974 E85 1.31 0.77 0.39 0.84 1.08 0.78 0.30 0.70 0.88 0.30 1975 $76 1.65 0.77 0.29 0.78 0.35 0.60 0.57 0.31 0.41 0.84 0.61 0.44 1976 E109 1.67 0.83 0.30 0.66 0.29 0.65 0.51 0.23 0.36 0.69 0.54 1977 E165 1.67 0.83 0.26 0.63 0.26 0.87 0.50 0.23 0.36 0.70 0.51 0.32 1978 E215 1.67 0.76 0.26 0.65 0.18 0.91 0.45 0.25 0.31 0.70 0.53 0.25 1979 E274 1.61 0.73 0.20 0.66 0.23 1.00 0.49 0.24 0.29 0.71 0.50 0.23 1981 E296 1.75 0.62 0.22 0.70 0.04 0.93 0.47 0.25 0.29 0.82 0.52 0.22 1982 E420 1.80 0.71 0.15 0.60 0.18 0.89 0.39 0.17 0.24 0.77 0.55 0.19 1983 E586 1.77 0.53 0.10 0.59 0.18 1.11 0.36 0.18 0.21 0.91 0.48 0.20 1985 1952 2.19 0.53 0.12 0.50 0.21 0.78 0.30 0.11 0.14 0.68 0.46 0.13 1986 E888 2.10 0.56 0.25 0.54 0.17 0.80 0.30 0.15 0.19 0.65 0.46 0.14 1987 1901 2.11 0.56 0.53 0.80 0.32 0.19 0.20 0.64 0.49 0.18 1988 E854 2.01 0.56 0.21 0.61 0.14 0.82 0.34 0.23 0.20 0.67 0.58 0.17 1989 E1,048 2.09 0.61 0.28 0.53 0.19 0.77 0.27 0.24 0.18 0.66 0.43 0.15 Predicted Price** 1.74 0.72 0.29 0.76 0.16 0.78 0.49 0.21 0.29 0.6 0.53 0.014