Candidates' Odds of Winning Increase When

question 10

Multiple Choice

Candidates' odds of winning increase when:

• A) The candidate is an incumbent.
• B) The candidate shares the voters' ideological preferences.
• C) The candidate is able to raise significant resources.
• D) All of these choices.

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Definitions:

Opportunity Costs

The cost of forgoing the next best alternative when making a decision, representing the benefits one misses out on.

Trading Costs

Expenses associated with buying and selling securities, including broker commissions and the bid-ask spread.

Total Costs

The sum of all expenses incurred in the production of goods or services, including both fixed and variable costs.

Net Present Value

A method used in capital budgeting to evaluate and compare the profitability of investments, which calculates the difference between the present value of cash inflows and outflows.