Cecilia has studied economics and knows about the value and investment potential of diamonds. The price of
diamonds has recently decreased, and a new diamond mine has opened nearby. Cecilia decides to buy a diamond
necklace while the prices are lower.
How did Cecilia's knowledge of economics help her make a savvy commodity purchase?
O She knew that diamonds are popular and in high demand.
She knew that diamonds are a nonrenewable resource, making them scarce.
She knew that the cost of diamonds depends only on the demand.
She knew that the purchase of diamonds will satisfy wants and needs.

Cecilia's knowledge of economics help her make a savvy commodity purchase because she knew that the cost of diamonds depends only on the demand.

What is demand?

Demand is ability of an individual to request for a good or service.

When demand is high the supplier are at advantage and goods could be sell at a higher price but when the demand is low supply is also low.

Therefore, Cecilia's knowledge of economics help her make a savvy commodity purchase because she knew that the cost of diamonds depends only on the demand.

Learn more on economics here,

https://brainly.com/question/17996535

#SPJ2