In the Context of the Capital Asset Pricing Model, the Systematic

question 9

Multiple Choice

In the context of the capital asset pricing model, the systematic measure of risk is captured by ________.

• A) unique risk
• B) beta
• C) the standard deviation of returns
• D) the variance of returns

Understand the concepts of income inequality and utility distribution.

Recognize the trade-offs between economic efficiency and income equality.

Identify causes and evidence of income inequality in the United States.

Differentiate between income and wealth and their roles in economic analysis.