Microeconomics: Principles, Problems, & Policies, 20th Edition

Published by McGraw-Hill Education
ISBN 10: 0077660811
ISBN 13: 978-0-07766-081-9

Chapter 16 - Rent, Interest, and Profit - Discussion Questions - Page 378: 11

Answer

The answer is below.

Work Step by Step

These have to do with the different risks associated with investing. After all, not all investments are of equal risk, for some people will choose riskier investments, which they will also expect to pay out more money.
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