The Theory of Asset Demand Suggests That the Most Important

question 30

Multiple Choice

The theory of asset demand suggests that the most important factor affecting the demand for domestic and foreign deposits is

• A) the level of trade and capital flows.
• B) the expected return on these assets relative to one another.
• C) the liquidity of these assets relative to one another.
• D) the riskiness of these assets relative to one another.

---

Definitions:

Spinal Cord

The spinal cord is a long, slender column of nervous tissue that runs through the spine, serving as the primary pathway for transmitting signals between the brain and the rest of the body.

Ambidextrous

The ability to use both hands with equal skill for various tasks or activities.

Dominant Side

The side of a person's body that is most used or strongest, often referred to in context of handedness, such as being right or left-handed.

Cerebral Infarction

A type of ischemic stroke caused by a blockage in the blood vessels supplying blood to the brain, leading to brain tissue death.