Social Media Usage Tends to

question 48

Multiple Choice

Social media usage tends to

• A)have very little impact on politics because most people already have strong political opinions that cannot be shaped by news events.
• B)influence the opinions of older Americans only because younger Americans are more skeptical of the information found on social media.
• C)exaggerate partisan polarization among the mass public because people pick their own friend networks and can avoid disagreeable ideas.
• D)minimize partisan polarization among members of the mass public because people are exposed to new ideas and sources of information.

---

Definitions:

Risk-Free Rate

The theoretical rate of return of an investment with zero risk of financial loss, often represented by the yield of government bonds from stable governments.

Market Risk Premium

This is the extra return expected by investors for holding a risky market portfolio instead of risk-free assets.

Security Market Line

A line that represents the risk versus expected return of the market; used to assess the performance of investments compared to the market.

Systematic Risk

The inherent risk associated with the overall market or economy that cannot be eliminated through diversification.