Uncertainty over the possibility of war in Iraq in March 2003 caused many corporations to purchase oil in advance in the futures market to protect against unexpected price increases.What effect did their actions have on the market for oil?

Question

Quizplus · Accepted Answer

The purchase of oil in advance in the futures market by corporations to protect against unexpected price increases would increase the demand for oil in the market. Therefore, the correct answer is A.

Uncertainty Over the Possibility of War in Iraq in March