Which of the following best describes message flows? a) Message flows represent exchanges between pools. b) Message flows may not cross pool boundaries. c) Message flows are modeled with solid arrows. d) Message flows may not cross lane boundaries. e) Message flows are continuous within each pool.

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• In a developing country, there is a poor household that owns a small land on which they grow corn. They eat part of the corn and sell the rest of it. The value of corn a household produces (when valued at the market price) is the equivalent of 30 percent of its income or consumption expenditure and the value of the corn it consumes (when valued at the market price) is the equivalent of 80 percent of its consumption expenditure. A) Is the household a net buyer or net seller? B) By how much does the household’s real purchasing power increase /decrease if the price of corn rises 20 percent? Calculate.
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