The Table Given Below Shows the Number of Umbrellas and Bushels

question 9

Multiple Choice

The table given below shows the number of umbrellas and bushels of corn produced in the United Kingdom and the Rest of the World per labor hour. The Rest of the World has an absolute advantage in the production of _____. $$\begin{array} { l c c } \hline\text { Productivity } & \text { In the United Kingdorn } & \text { In the Rest of the World } \\\hline \text { Umbrellas per labor hour } & 0.25 & 1 \\\text { Bushels of corn per labor hour } & 0.5 & 0.67\\\hline\end{array}$$

• A)both the goods
• B)neither corn nor umbrella
• C)only umbrella
• D)only corn

---

Definitions:

Market Risk Premium

The difference between the expected return on a market portfolio and the risk-free rate.

Portfolio Beta

A measure of a portfolio's sensitivity to market movements, indicating its volatility relative to the market.

Risk-Free Rate

The theoretical rate of return of an investment with zero risk, typically represented by the yield on government securities like U.S. Treasury bonds.

Sample Standard Deviation

A measure of the dispersion or variability in a subset of data from its mean, used to estimate the standard deviation of the entire population.