Examlex

Solved

Which of the Following Is NOT Consistent with Nonsatiated Preferences

question 6

Multiple Choice

Which of the following is NOT consistent with nonsatiated preferences?


Definitions:

Market Risk Premium

An additional expected return that investors demand for choosing to invest in the stock market over a risk-free investment, reflecting the extra risk assumed.

Average Stock

The average price of a company's stock over a specific period, which can indicate the stock's general trend.

Diversified Portfolio

An investment portfolio that contains a mix of assets (e.g., stocks, bonds, real estate) to reduce risk through diversification.

Market Portfolio

A portfolio consisting of all stocks.

Related Questions