Refer to the Graph Shown

question 59

Multiple Choice

Refer to the graph shown. The shift in the graph from D1 to D2 shows how an expansionary U.S. fiscal policy can cause an increase in:

• A)prices that raise the dollar's value.
• B)interest rates that reduce the dollar's value.
• C)prices that reduce the dollar's value.
• D)interest rates that raise the dollar's value.

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Definitions:

Expected Return

The anticipated value or profit gained from an investment over a specified period, considering all possible outcomes.

Portfolio

A compilation of investment vehicles including stocks, bonds, commodities, along with cash and near-cash items, which encompasses mutual funds and ETFs.

Standard Deviation

A statistic that measures the dispersion or variability of a dataset relative to its mean, used to quantify the amount of variation or dispersion.

Portfolio

An assortment of financial assets comprising stocks, bonds, commodities, cash, and equivalents such as mutual funds and exchange-traded funds (ETFs).