Generalized Reciprocity Usually Occurs

question 20

Multiple Choice

Generalized reciprocity usually occurs:

• A) in highly industrialized societies.
• B) among labor and management in Western corporations.
• C) among family members and close friends.
• D) in racially-segregated societies.
• E) as charity for poor people.

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Definitions:

Systematic Risk

The inherent risk associated with the entire market or market segment, also known as market risk.

Beta Coefficient

A means of gauging the rate of fluctuation, or uniform risk, inherent in a security or portfolio as compared to the entire market.

Treynor Index

A performance metric for determining how well an investment portfolio is compensated for taking investment risk, adjusted for market volatility.

Unsystematic Risk

The risk associated with a specific issuer of a security, such as a company's financial health or management decisions, also known as "specific risk" or "idiosyncratic risk."