One Factor Explaining the Rapid Growth in Mutual Funds Is

question 2

True/False

One factor explaining the rapid growth in mutual funds is that they are financial intermediaries that are not regulated by the federal government.

---

Definitions:

Efficiency

The optimal use of resources to achieve the desired output with minimal waste or effort.

Negative Income Tax

A welfare system in which individuals earning below a certain income threshold receive supplemental pay from the government instead of paying taxes.

Labor Earnings

Income received by workers for their labor, including wages, salaries, bonuses, and other compensation.

Income Distribution

Income distribution describes how a nation’s total GDP is spread amongst its population, influencing the standard of living and economic inequalities.