Diversification is the principle of:
A. eliminating risk.
B. eliminating investments from our portfolio that have idiosyncratic risk.
C. reducing the risk we carry to just two.
D. holding more than one asset to reduce risk.
Answer: D
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Goods and services produced in the United States and sold in other countries are called
A) consumption goods and services. B) capital goods. C) government goods and services. D) export goods and services. E) import goods and services.
According to Gordon, the main losers due to the redistributive effect of the postwar inflation in the United States were
A) households. B) corporations. C) government. D) foreigners.
What is included in the public statement released by the FOMC following the conclusion of its meeting?
What will be an ideal response?
In the flow of income and spending, saving and investment are, respectively:
A. An injection and a leakage B. A leakage and an injection C. Wealth and income D. Income and wealth