Analysts Conclude That the Finite Supply of Natural Resources Will

question 25

Multiple Choice

Analysts conclude that the finite supply of natural resources will most likely ________.

• A)cause a higher proportion of world trade to occur among developed countries
• B)cause a higher proportion of world trade to occur among developing countries
• C)serve as an advantage for developing countries in their sales to developed countries
• D)create a greater portion of world trade in the form of services

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Definitions:

Horizontal Spread

An options strategy involving the purchase and sale of two options of the same type and expiration date but different strike prices.

Call

An option contract giving the owner the right, but not the obligation, to buy a specified amount of an underlying asset at a set price within a specified time.

Strategy

A plan of action designed to achieve a long-term or overall aim.

Risk-Free Rate

The theoretical rate of return of an investment with zero risk, serving as a baseline for assessing the risk and return on other investments.