From the standpoint of the economy as a whole, the role of insurance is not to eliminate the risks inherent in life. Then what is its purpose?
To spread these risks out more efficiently. It reduces an individual's burden of the risk.
Economics
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Which of the following do national income accountants consider to be investment?
A. The purchase of an automobile for private, nonbusiness use. B. The purchase of a new house. C. The purchase of corporate bonds. D. The purchase of gold coins.
Economics
The money multiplier is calculated as 1 / reserve requirement multiplied by the:
A. change in excess reserves following a change in the money supply. B. change in deposits following a change in government expenditure. C. change in total reserves following a change in the money supply.
Economics