The Following Questions Refer to the Excerpt Below

question 25

Multiple Choice

The following questions refer to the excerpt below.
"It is a heavily populated land. We asked why they did not sow maize;they replied that they were not doing so in order not to lose the crop,for during two consecutive years the rains had failed and the weather had been so dry that all had lost their whole crop of maize,and they did not dare sow it again until there had been copious rain. And they begged us to tell the heavens to rain,and implore them to do so,and we promised that we would do this. We also asked them from where they had brought [the maize they had],and they said from the direction the sun had set,and in all that land there was maize everywhere."
-The development of maize cultivation by the indigenous people encountered here by Cabeza De Vaca would have had which of the following effects on that culture?

• A) It would have destabilized the region due to the necessity of access to running water.
• B) It would have allowed the development of a mixed agricultural and hunter-gatherer economy.
• C) It would have encouraged the American Indians to develop mobile lifestyles.
• D) It would have supported diversification and economic development.

---

Definitions:

Risk Premium

The extra return expected by investors for taking on a higher level of risk compared to a risk-free investment.

Market Return

The total return from investing in a market or an index, including dividends, interest, and capital gains.

Risk-Free Rate

The theoretical return on an investment with zero risk, typically associated with government bonds.

Security's Beta

A measure of a stock's volatility in comparison to the overall market; a beta greater than 1 indicates higher volatility than the market, while a beta less than 1 indicates lower volatility.