Draw Graphs Showing the Following Three Relationships

question 51

Essay

Draw graphs showing the following three relationships.
1.The relation between utility and wealth for a risk averse consumer.
2.The relation between standard deviation and the number of stocks in a portfolio.
3.The relation between return and risk.

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Definitions:

Expected Rate

The anticipated return or yield on an investment, saving account, or financial product, often used in planning and financial projections.

Inflation

The hike in the broad cost of goods and services, resulting in a reduction of purchasing leverage.

Labor Force

The sum of all individuals who are either working or actively searching for work within a specific country or area.

Discouraged Workers

Individuals not actively searching for employment due to previous unsuccessful attempts or a belief that no jobs are available for them.