Proponents of a Command Economy Argue That It Promotes

question 4

Multiple Choice

Proponents of a command economy argue that it promotes:

• A) efficiency.
• B) equity.
• C) consumer sovereignty.
• D) economic growth.

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Definitions:

Beta

An indicator of how much a stock's price is expected to fluctuate, compared to fluctuations in the overall stock market.

Required Rate of Return

The minimum annual percentage return an investor expects to earn from an investment to consider it worthwhile.

Portfolio

A collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including mutual, exchange-traded, and closed funds.

Market Risk Premium

The additional yield investors anticipate from maintaining a portfolio with inherent market risk rather than opting for assets free of risk.