Which of the following properties can be associated with an indifference curve of a risk-averse investor?
a. Indifference curve for a risk-averse investor is a vertical line parallel to the variance axis.
b. Two indifference curves can intersect at the equilibrium combination of risk and return.
c. An indifference curve closer to the expected return axis gives a better utility than the one farther away.
d. Indifference curve for a risk-averse investor is always downward sloping.
C
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Indicate whether the statement is true or false
Dumping typically occurs because
A) the exporting country raises its prices to increase profits. B) the exporting country usually is experiencing a recession and has excess production. C) the importing country is experiencing a recession. D) the importing country has assessed significant tariffs.
Refer to the graph shown. Suppose that the market price is $5. At this price, a perfectly competitive firm should:
A. continue to produce in the short run but shut down in the long run. B. shut down immediately. C. shut down in the short run but continue production in the long run. D. continue to produce in both the short run and the long run.
Privately owned banks and thrift institutions that accept deposits and make loans are known as
A. systemic risks. B. financial holding companies. C. depository institutions. D. fiduciary institutions.