The so-called market portfolio used as a benchmark in financial economics is:
A. The lowest risk portfolio
B. The most diversified portfolio
C. The portfolio with the highest expected return
D. The portfolio with zero systemic risk
B. The most diversified portfolio
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If an event is certain to occur, it has a probability (pr) of
A) 0. B) 0 < pr < 1. C) 1. D) Not enough information to determine.
Define the average tax rate
Those in the poorest countries consume only half the calories of those in high income countries
Indicate whether the statement is true or false
What is marginal cost?
a. the change in total costs resulting from a one-unit change in output b. a per-unit measure of costs that change with the level of output c. an estimate of the per-unit value of the best alternative not pursued d. a cost counted toward economic profits but not accounting profits