Answer:
C. Banks make private loans; their conclusions on who is creditworthy are not made public.
Explanation:
Investors in financial instruments who engage in information collection face a free-rider problem, which means other investors may be able to benefit from their information without paying for it.
Individual investors, therefore, have inadequate incentives to devote resources to gather information about borrowers who issue securities.
Answer: B. Fundamental weighting.
Explanation:
A fundamentally weighted index refers to a type of equity index whereby the components that are chosen based on the fundamental criteria like the dividend rates, book value, revenue, dividend rates, etc.
Fundamental weighting is the index weighting which results in portfolio weights shifting away from securities that have increased in relative value toward securities that have fallen in relative value whenever the portfolio is rebalanced.
Answer will be ‘Desire’ according to me.
Answer:
compile and analyze the data
Explanation:
Since Peter has already identified the problem, his next step is to compile and analyze the data. This will allow Peter to see all of the data together and try to find what the cause of the problem actually is, which will ultimately allow him to develop a solution to it. This is done by inspecting and cleaning the data in order to find useful information, informing conclusions and data supporting decision-making.
Answer: it experiences a capital inflow.
Explanation:
A trade deficit is a situation that occurs when the imports of a country is greater than the exports of the country. This is usually measured in monetary terms. For example, let's say in a certain year, the United States exported $3 trillion in goods and it imported goods worth $4 trillion, th n the trade deficit will be ($4 trillion - $3 trillion) = $1 trillion.
Trade deficit can be caused because of capital deficiency. This will then lead to capital flowing into the country that is experiencing the trade deficit.
