Les Says That It Is Foolish to Invest in the Stock

Multiple Choice

Les says that it is foolish to invest in the stock market because you can lose money.It is much better to simply put your money in a savings account where it is safe.Laura agrees that investing is risky,but says that even relatively low-risk investments will earn more than the low rate of interest that is paid in a savings account.Which of the following assumptions is Laura making?

A) Inflation will be higher than the interest rate paid on a savings account.
B) Any stock will eventually go up in value,given enough time.
C) Riskier investments have more value over a long period of time.
D) If you invest in more stocks,their value will be higher.
E) The stock market will experience net growth over time.