A Decrease in the Quantity of Resources Available Causes a Movement

question 115

True/False

A decrease in the quantity of resources available causes a movement from one point on a given PPF to another point along the same PPF.

---

Definitions:

Information Ratio Measure

A performance metric used to evaluate the skill of an investment manager by comparing their returns relative to the risk taken.

Residual Standard Deviations

A measure of the amount of variance in a set of data points that is not explained by the predictive variables in a regression model.

Market Portfolio

A theoretical bundle of investments that includes every type of asset available in the market, with each asset weighted according to its total presence in the market.

Time-Weighted Return

A measure used to evaluate the performance of an investment portfolio by calculating the compound rate of growth over a specified period, eliminating the impact of inflows and outflows of money.