1. Read the original "Wealth of Nations" from Adam Smith, Book 1, chapter 1, 2 & 3. The link to this book is located in the resources button/tab, called "The Wealth of Nations."
Compose a paragraph of no more than 10 lines, and explain what the main ideas are from those readings.
2. The following chart shows the evolution of monthly oil prices from 1986 to 2016. https://learn.vccs.edu/bbcswebdav/pid-3153577-dt-forum-rid-91732458_2/courses/BR291.ECO.201.01.FA16/Petroleum%20Prices%281%29.jpeg. The source of the data is the U.S Energy Information Administration.
As you see from the chart, prices go up and down. Based on the economic theory that you have read in chapter 3, answer in no more than 10 lines what could explain the big variations in oil prices that we observe from 2005 to 2016?
Support both answers with theoretical concepts from chapters 1, 2 & 3.