An Institutional Investor Can Create a Put Option Synthetically by Using

question 29

Multiple Choice

An institutional investor can create a put option synthetically by using either ________.

• A) stocks or a riskless asset.
• B) stock index futures or stocks.
• C) stock index futures or a riskless asset.
• D) stock index futures or stocks and a riskless asset.

Be familiar with income equality measures, including the Lorenz curve and Gini coefficient.

Analyze the relationship between income inequality, economic efficiency, and social welfare.

Recognize the role of skills, abilities, and discrimination in creating income disparities.

Understand the significance and outcomes of major welfare reforms.