If two events are perfectly positively correlated, then
A) diversification is not necessary since there is no risk.
B) diversification eliminates all risk.
C) diversification does not reduce risk at all.
D) diversification only cuts the risk in half.
C
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A swap designed to compensate for mismatched securities is a type of __________ called a __________ swap
A) speculation; currency B) speculation; generic C) hedging; London D) hedging; plain vanilla
The demand schedule shows that the price of a good and quantity demanded are directly related to each other
a. True b. False Indicate whether the statement is true or false
The counterpart to the unsold output of firms is the lack of jobs for workers willing to work
a. True b. False Indicate whether the statement is true or false
Which of the following is not a determinant of the price elasticity of demand for a good?
a. the time horizon b. the steepness or flatness of the supply curve for the good c. the definition of the market for the good d. the availability of substitutes for the good