Which of the Following Is a Manifestation of a "New

question 49

Multiple Choice

Which of the following is a manifestation of a "new temperance" movement in the United States?

• A)Mandatory sentences for illicit drug use
• B)Legalization of medical marijuana in some states
• C)Harsher penalties for crack than cocaine abuse
• D)Federally mandated 21-year-old drinking laws

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Definitions:

Non-diversifiable Risk

The portion of an investment's risk that cannot be eliminated through diversification, related to factors affecting the entire market.

Unsystematic Risk

A type of risk that affects a small number of assets, often referred to as "specific risk," and is related to issues like management performance or consumer preferences.

Marketplace

A venue for buying and selling goods, services, or financial instruments, which can be physical or virtual.

Systematic Risk

The risk inherent to the entire market or market segment, also known as market risk or un-diversifiable risk, which cannot be mitigated through portfolio diversification.