Which of the Following Statements Is CORRECT

question 31

Multiple Choice

Which of the following statements is CORRECT?

• A) Hedge funds are legal in Europe and Asia, but they are not permitted to operate in the United States.
• B) Hedge funds are legal in the United States, but they are not permitted to operate in Europe or Asia.
• C) Hedge funds have more in common with investment banks than with any other type of financial institution.
• D) Hedge funds have more in common with commercial banks than with any other type of financial institution.
• E) Hedge funds are not as highly regulated as most other types of financial institutions. The justification for this light regulation is that only "sophisticated" investors (i.e., those with high net worths and high incomes) are permitted to invest in these funds, and such investors supposedly can do any necessary "due diligence" on their own rather than have it done by the SEC or some other regulator.

Comprehend the relationship between self-discipline, self-efficacy, and academic achievement.

Understand the role of social support in developing self-esteem.

Know the critical aspects contributing to a child's sense of self-worth.

Understand how empathy and prosocial behavior evolve in children.

---

Definitions:

Transaction Demand

The requirement to possess currency in order to carry out daily financial transactions.

Medium of Exchange

An intermediary instrument or system used to facilitate the sale, purchase, or trade of goods between parties.

Measure of Value

A function of a medium of exchange that allows it to serve as a common denominator to express the value of goods and services.

Demand Deposits

Bank accounts from which deposited funds can be withdrawn at any time without any notice to the institution, such as checking accounts.