Most Investors Are Risk-Averse, Which Means They

question 63

Multiple Choice

Most investors are risk-averse, which means they

• A) refuse to accept any financial risk.
• B) invest only in government insured securities.
• C) require an increase in return for any increase in risk.
• D) gain satisfaction from the excitement of risk.

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Definitions:

Prior Restraint

is a legal doctrine that prohibits governmental entities from preventing the publication or dissemination of media content before it is published, typically viewed as a violation of free speech rights under the First Amendment.

Government Censorship

The practice by which a government examines and restricts information or content it deems harmful, sensitive, or objectionable from public access or circulation.

Stone's Footnote 4

A famous footnote in United States constitutional law, highlighting circumstances under which courts may have an enhanced duty to scrutinize legislation.

Carolene Products Co.

A landmark U.S. Supreme Court case notable for its Footnote Four, which suggested that certain cases, particularly those involving civil rights and liberties, should be given more exacting judicial scrutiny.