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What Lesson Can Be Learned from the 2008 Market Decline

Question 73

Multiple Choice

What lesson can be learned from the 2008 market decline?


A) Stocks and bonds react similarly in downward markets.
B) Diversification lowers risk.
C) Market declines cause high inflation rates.
D) Global markets all react exactly the same.
E) Equity risk premiums will decline in the future.

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