Question

In: Economics

Purchasers will accept a lower financial rate of return on items such as homes or automobiles...

Purchasers will accept a lower financial rate of return on items such as homes or automobiles than they will accept for purely financial assets.such as stocks or bonds because of the differences in risk. T / F?

Solutions

Expert Solution

True

Explanation: Financial assets such as stocks and bonds involve more risks as compared to tangible assets such as homes or automobiles.


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