____ Risk Is the Risk That the Value of an Investment

question 17

Multiple Choice

____ risk is the risk that the value of an investment will decline when overall prices decline.

• A)Inflation
• B)Deflation
• C)Interest rate
• D)Financial

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Definitions:

Foreclosures

The legal process through which a lender takes control of a property from the borrower due to failure to make the required mortgage payments.

December 2007

Marked the beginning of the global financial crisis that led to significant economic downturns worldwide.

Business Fluctuations

The cyclical increases and decreases in economic activity that an economy experiences over time.

Great Depression

A severe worldwide economic depression that took place during the 1930s, starting in the United States, marked by significant declines in industrial production and employment.