Figure 12-1

question 351

Multiple Choice

Figure 12-1. On the horizontal axis, K/L represents capital (K) per worker (L) . On the vertical axis, Y/L represents output (Y) per worker (L) .
-Refer to Figure 12-1. The shape of the curve is consistent with which of the following statements about the economy to which the curve applies?

• A)In the long run, a higher saving rate leads to a higher growth rate of productivity.
• B)In the long run, a higher saving rate leads to a higher growth rate of income.
• C)Returns to capital become increasingly smaller as the amount of capital per worker increases.
• D)All of the above are correct.

Identify the role of communication in team dynamics and virtual teams.

Understand the impact of diversity and cultural aspects on communication.

Recognize the importance of communication technologies and social media in organizational settings.

Understand the concept of cultural competence in a global workplace.

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Definitions:

Unsystematic Risk

The risk associated with a specific company or industry, which can be mitigated through diversification.

Systematic Risk

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

Beta

Beta is a measure of the volatility, or systematic risk, of a security or portfolio in comparison to the market as a whole, indicating its sensitivity to market movements.

Market Index

A hypothetical portfolio of investment holdings that represents a segment of the financial market, used as a benchmark to measure an investment's performance.