The Number of U

question 3

Multiple Choice

The number of U.S. households with access to the Internet is growing rapidly. Compared to 50 years ago, one would predict that when considering a major purchase, people today will gather:

• A)less information because the Internet has lowered the cost of gathering information.
• B)less information because the Internet has increased the benefit of gathering information.
• C)more information because the Internet has lowered the cost of gathering information.
• D)more information because the Internet has increased the cost of gathering information.

---

Definitions:

TIPS

Treasury Inflation-Protected Securities (TIPS) are a form of U.S. Treasury securities designed to help investors protect against inflation, as their principal value adjusts with the inflation rate.

Treasury Bonds

Long-term government bonds issued by the U.S. Treasury, typically with a maturity of 20 to 30 years and offering periodic interest payments.

Inflation Protection

Financial strategies or instruments designed to protect investors from the erosive effect of inflation on investments and purchasing power.

U.K. Stock Index

A measurement of the performance of the stock market in the United Kingdom, often represented by indices such as the FTSE 100.