Market risk is:
A. risk that is broadly shared by the entire market or economy.
B. risk that is unique to a particular company or asset.
C. likely to be predictable, and generally reflected in interest rates.
D. the reason the economy suffers inflation from time to time.
A. risk that is broadly shared by the entire market or economy.
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To show the values of an economic variable for different groups in a population at a point in time, it is best to use a
A) trend-section diagram. B) cross-section graph. C) linear graph. D) time-series graph. E) scatter diagram.
A unanimous decision rule is equivalent to market exchange in terms of efficiency
a. True b. False
A situation in which an individual has no information about probabilities and the underlying distributions of the possible outcomes of an investment choice is called:
a. a prior distribution. b. updating. c. risk tolerance. d. pure uncertainty.
Pollution reduction policies are likely to lead to: a. higher product prices
b. lower product prices. c. unchanged product prices. d. indeterminate changes in product prices.