Chapter7: Consumer Choice: Maximizing Utility And Behavioral Economics
Section: Chapter Questions
Problem 16QP
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Question
what are the reason of overdiversification
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Step 1
Diversification:
It is a risk management method under which a mixed variety of investments are made. Or investing in diversified units is termed as diversification. However, if one unit fails to give profit then this loss can be covered by other invested units.
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