People who are risk averse A) value a collection of assets ...

[Mr3Hunna]

People who are risk averse
 
  A) value a collection of assets only on the basis of its expected returns.
  B) value a collection of assets only on the basis of the risk of that return.
  C) value a collection of assets not only on the basis of its expected returns but also on the basis of the risk of that return.
  D) are less likely to invest in life insurance.
  E) are less likely to have a diverse portfolio.

Question 2

In the specific factors model, the effects of trade on welfare overall are ________ and for fixed factors used to produce the exported good they are ________.
 
  A) positive; positive
  B) negative; positive
  C) positive; negative
  D) ambiguous; positive
  E) positive; ambiguous

[scrocafella]

Answer to Question 1

C

Answer to Question 2

A

[Mr3Hunna]

Great answer, keep it coming

[kthug]

YES! Correct, THANKS for helping me on my review