In the figure above, the line of equality is

Risk that is common to all assets of a certain type is referred to as

A) systematic risk. B) unsystematic risk. C) idiosyncratic risk. D) structural risk.

The decision about what goods and services will be produced in a market economy is made by

A) lawmakers in the government voting on what will be produced. B) workers deciding to produce only what the boss says must be produced. C) producers deciding what society wants most. D) consumers and firms choosing which goods and services to buy or produce. E) consumers dictating to firms what they need most.