You believe that over the next year the expected return on the market portfolio will yield 11.27%. What is the market risk premium?

9.27%

Explanation:

The first part of the question puts the One-year Treasury bill rate at 2%.

The market risk premium is return that the market is offering over what the risk free rate is.

It is therefore calculated by subtracting the risk free rate from the Expected market return which is:

= Expected return on market - Risk free rate

= 11.27% - 2%

= 9.27%

answer; radioactive decay)

the correct answer is economics is a game without winners or losers.

unlike sports or games economic is a game without losers or winner rather it is a game where everyone wins. parties of business doing businesses exchange money with each other and hence exchange is done on the basis of goods. one party takes the goods and other sales it so there is winner on both sides. each party values more highly the good it gets than the good it gives up. both sides exchange only because both intend to increase their value. so there is no concept of lose or win.