MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1) Which of the following statements best

MULTIPLE CHOICE.    Choose the one alternative that best completes the statement or answers the question.

1)

Which of the following statements best describes the study of economics?

A)

Economics studies how gover

nments determine appropriate tax rates.

B)

Economics studies how individuals and groups manage scarce resources.

C)

Economics studies how the Federal Reserve handles fluctuation in business cycles.

D)

Economics studies how people maximize returns in the s

tock market.