Which of the Following Statements Is TRUE

question 71

Multiple Choice

Which of the following statements is TRUE?

• A)Small stocks have outperformed the S&P 500 in every year since 1925.
• B)The S&P 500 is more volatile than corporate bonds.
• C)Corporate bonds underperformed inflation during most years since 1925.
• D)Treasury Bills outperformed inflation during every year since 1925.

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Definitions:

Clayton Act

A U.S. antitrust law, passed in 1914, aimed at preventing anticompetitive practices and monopolies by regulating specific business activities.

Anticompetitive Effect

Refers to actions that negatively affect competition in a market, including practices like monopoly, price fixing or others that hinder free competition.

Vertical Mergers

A combination of two or more companies involved in different stages of the supply chain process for a specific product or service.

Economic Efficiencies

A measure of how well resources are used to achieve economic goals, minimizing waste and maximizing output.