For Markets to Be in Equilibrium,that Is,for There to Be

question 73

Multiple Choice

For markets to be in equilibrium,that is,for there to be no strong pressure for prices to depart from their current levels,

• A) The expected rate of return must be equal to the required rate of return; that is, .
• B) The past realized rate of return must be equal to the expected rate of return; that is: .
• C) The required rate of return must equal the realized rate of return; that is, .
• D) All three of the above statements must hold for equilibrium to exist; that is,
• E) None of the above statements is correct.

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Definitions:

Future-Exception Question

A therapeutic question aimed at identifying times when the client’s problem does not occur, suggesting potential pathways for change.

Resistance

The refusal to accept or comply with something; in psychology, it can refer to the pushback from clients against therapeutic interventions.

Fosters Progress

Encouragement or support that leads to advancement or improvement in a situation or condition.

Prevent Losses

Strategies or actions taken to avoid or minimize potential or actual losses.