Based on the Belief That Prices Are Very Flexible,classical Economists

question 148

Multiple Choice

Based on the belief that prices are very flexible,classical economists conclude that

• A) the economy can become stuck at high levels of unemployment for long periods of time.
• B) government intervention in the economy is unnecessary.
• C) the economy will experience wild swings in output and employment.
• D) the best type of economy is centrally planned and run by the state.
• E) government intervention in the economy is very necessary.

Comprehend the additional features and riders that can be attached to life insurance policies.

Understand the procedure for claiming life insurance proceeds.

Know the importance and benefits of a "free look" period in life insurance.

Understand the financial evaluation of life insurance including cash value and net cost.

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Definitions:

Stated Rate

The nominal interest rate specified in the contractual terms of a financial instrument such as a bond.

Market Rate

The prevailing interest rate available in the marketplace for securities, loans, and deposits.

A Discount

A reduction applied to the normal selling price of a product or service, typically used as a promotional strategy or to incentivize early payment.

Yield

The income return on an investment, such as the interest or dividends received, expressed as a percentage of the investment's cost.