In Discussing the Relationship Between Capitalism and Democracy, the Text

question 24

Multiple Choice

In discussing the relationship between capitalism and democracy, the text quotes a study that says

• A) capitalism tends to value individuals according to contributions to production, but democracy attributes unique but roughly equivalent value to all people.
• B) democracy tends to value individuals according to contributions to production, but capitalism attributes unique but roughly equivalent value to all people.
• C) both capitalism and democracy tend to value individuals according to contributions to production.
• D) both capitalism and democracy attribute unique but roughly equivalent value to all people.
• E) neither capitalism nor democracy attributes unique but roughly equivalent value to all people.

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Definitions:

Bond Premium

The amount by which the market price of a bond exceeds its face value.

Annual Interest Expense

The total amount of interest a company expects to pay on its debts over a year.

$100,000 Bond

A debt instrument issued by a corporation or government entity, with a principal amount of $100,000, to raise funds from investors.

Premium

An amount paid in addition to a standard price or rate, or the amount above par value for a security.