Figure 33-2. -Refer to Stock Market Boom 2014.Which Curve Shifts and in Shifts

question 311

Multiple Choice

Figure 33-2.
-Refer to Stock Market Boom 2014.Which curve shifts and in which direction?

• A) aggregate demand shifts right
• B) aggregate demand shifts left
• C) aggregate supply shifts right
• D) aggregate supply shifts left.

Be familiar with Markowitz portfolio theory and the concept of optimal risky portfolio.

Calculate and interpret the expected rates of return and standard deviations for portfolios.

Understand the role of correlation and covariance in portfolio risk reduction and optimization.

Understand the concepts of monetary and non-monetary items within the context of foreign currency transactions.

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Definitions:

Population Variances

The measure of the dispersion of all values in the population from the mean.

Normally Distributed

A type of distribution where data is symmetrically distributed around the mean, resembling a bell curve.

Population Variances

A measure of the dispersion or spread of a population's values, calculated as the average of the squared deviations from the population mean.

Ratio

A quantitative relationship between two numbers, showing how many times one value contains or is contained within the other.