The Home-Bias Puzzle Could Be Used to Describe

question 51

Multiple Choice

The home-bias puzzle could be used to describe:

• A) The gains investors earn when over investing in foreign markets.
• B) The lack of international diversification in the United States.
• C) The increased preference for high variance investments in the domestic market.
• D) The surprisingly low level of domestic investment in the United States.

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Definitions:

Government Programs

Initiatives sponsored by governmental bodies designed to address social, economic, health, or environmental issues, by providing services, funding, or regulations.

Equal Rights Amendment

Amendment to guarantee equal rights for women, introduced in 1923 butnot passed by Congress until 1972; it failed to be ratified by the states.

Phyllis Schlafly

A conservative American activist known for her opposition to the women's liberation movement and her successful campaign against the ratification of the Equal Rights Amendment.

Roe V. Wade

A landmark 1973 Supreme Court case in the United States that legalized abortion nationwide, establishing a woman's legal right to an abortion.