The United States' Threat to Use Military Force If Necessary

question 42

Multiple Choice

The United States' threat to use military force if necessary to safeguard Western access to the Middle East's oil reserves is known as which of the following?

• A)The Carter Doctrine
• B)The Kennedy Doctrine
• C)The Nixon Doctrine

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Definitions:

Non-Diversifiable Risk

A type of investment risk that cannot be eliminated through diversification, arising from factors that affect all companies.

Efficient Markets Hypothesis (EMH)

The hypothesis is that actual capital markets, such as the TSX, are efficient.

CAPM

Capital Asset Pricing Model, a theory that describes the relationship between systematic risk and expected return for assets, particularly stocks.

Security Market Line (SML)

Positively sloped straight line displaying the relationship between expected return and beta.