The Threat of Confiscated Private Property Diminishes the Incentive to Invest

question 49

True/False

The threat of confiscated private property diminishes the incentive to invest.

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Definitions:

Net Asset Value

Net Asset Value (NAV) is the per-share value of a mutual fund or ETF, calculated by dividing the total value of all the assets in the portfolio, minus liabilities, by the number of shares outstanding.

Liabilities

Liabilities are financial obligations or debts that a company or an individual owes, which are expected to be paid in the future.

Market Value

Market value is the current value at which an asset, company, or security can be bought or sold in the marketplace, determined by supply and demand dynamics.

Sales Commission

A payment made to a salesperson or broker for facilitating a sale, typically calculated as a percentage of the sale price.