An Example of an Institution That Will Decrease the Expected

question 119

Multiple Choice

An example of an institution that will decrease the expected payoff of investment is

• A) high and variable inflation.
• B) lower tax rates.
• C) private property rights.
• D) political stability.
• E) free trade.

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Definitions:

Mortality

The state of being mortal or the incidence of death within a population.

Life Expectancy

The average number of years an individual is expected to live, based on statistical averages for a particular population or demographic.

Health Expectancy

An estimate of how many years a person can expect to live in a state of good health, taking into account morbidity and disability rates.

PPACA

The Patient Protection and Affordable Care Act, a U.S. law enacted in 2010 aimed at expanding health insurance coverage, reducing healthcare costs, and improving healthcare system efficiency.