Which of the Following Would Most Likely Cause the Current

question 333

Multiple Choice

Which of the following would most likely cause the current demand for natural gas to decrease?

• A) an increase in consumer income
• B) an increase in the price of natural gas
• C) a decrease in the price of electricity, a substitute for natural gas
• D) the expectation that the price of natural gas will rise sharply next month

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Definitions:

Real Assets

Physical or tangible assets such as gold, real estate, and commodities, which have intrinsic value due to their substance and physical properties.

Asset Allocation

The allocation of investment portfolio across various asset classes, such as stocks, bonds, and cash, to achieve a specific investment goal.

Broad Asset Classes

Categories of assets, such as stocks, bonds, real estate, and commodities, that behave similarly in the marketplace and are subject to the same laws and regulations.

Safe Securities

Investment instruments deemed to have a lower risk of loss, often with lower potential returns as compared to riskier investments.