Adding Foreign Stocks and Bonds to a U

question 35

Multiple Choice

Adding foreign stocks and bonds to a U.S. portfolio will almost certainly _____the risk of the portfolio and can possibly _____ its average return.

• A) reduce; increase
• B) increase; reduce
• C) increase; increase
• D) decrease; decrease
• E) not change; decrease

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Definitions:

Conflict Theorists

are scholars who believe that society is in a state of perpetual conflict due to competition for limited resources, contributing to social inequality.

Stability

The state or quality of being resistant to change, especially sudden change or deterioration, maintaining equilibrium or remaining unchanged.

Conservative Reaction

A response aiming to preserve traditional structures, values, and practices in the face of perceived changes or threats to social, cultural, or political norms.

Society

A group of individuals involved in persistent social interaction, or a large social group sharing the same spatial or social territory, typically subject to the same political authority and dominant cultural expectations.