A stock mutual fund's primary advantage is to allow
A) investors to diversify away systematic risk.
B) investors to diversify away all risk.
C) investors to diversify away idiosyncratic risk.
D) the rich to avoid taxes.
C
Economics
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The argument that a large firm dominating an industry will not necessarily act like a monopolist, as expressed in the 1920 U.S. Steel case, suggests that the application of antitrust laws should be based on firm:
A. Behavior B. Structure C. Efficiency D. Concentration ratios
Economics
Refer to the diagram for a private closed economy. At the $300 level of GDP:
A. aggregate expenditures and GDP are equal.
B. consumption is $200 and planned investment is $50.
C. saving exceeds planned investment.
D. consumption plus saving is $400.
Economics