How is the optimal degree of diversification of a portfolio determined?
The diversification of an investment portfolio in most of the situation reduces the investor's risk. The optimal degree of diversification will differ depending on the relative values the investor places on risk and return.
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If total Fed assets __________, then reserves have to __________, everything else being equal
A) fall; rise B) rise; fall C) fall; fall D) None of the above.
Refer to Table 2-9. If the two countries specialize and trade, who should export sailboats?
A) There is no basis for trade between the two countries. B) Guatemala C) Honduras D) They should both be importing sailboats
The questions below are based on the table below. Fill in the blank spaces first. 
The Supply of Labor is W = 10 + 3QLHow many laborers will be hired and what will the wage be if both product and labor markets are perfect and the going wage is $18 per worker?
What will be an ideal response?
The production possibilities curve illustrates
A. The existence of unlimited wants and resources. B. The limitations that exist because of scarce resources. C. That there is no limit to the level of output. D. That there is no limit to what an economy can produce.