What Do Historians Mean by the Term "Enlightened Absolutism," and to What

question 52

Essay

What do historians mean by the term "enlightened absolutism," and to what degree did eighteenth-century Prussia, Austria, and Russia exhibit its characteristics? How "enlightened" was enlightened absolutism as it was manifested in eighteenth-century Europe? Give examples to support your viewpoint.

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Definitions:

Risk-Free Rate

The return on an investment with no risk of financial loss, typically represented by the yield on government Treasury bonds.

Well-Diversified Portfolio

A portfolio spread out over many securities in such a way that the weight in any security is close to zero, resulting in negligible diversifiable risk.

Systematic Risk

The risk inherent to the entire market or market segment, which cannot be eliminated through diversification.

Unsystematic Risk

Unsystematic risk refers to the risk associated with individual investments or sectors, not affected by broader market movements.