Holding all other factors constant,the quantity demanded of an asset is
A)positively related to wealth.
B)negatively related to its expected return relative to alternative assets.
C)positively related to the risk of its returns relative to alternative assets.
D)negatively related to its liquidity relative to alternative assets.

Question

Quizplus · Accepted Answer

The quantity demanded of an asset is positively related to wealth because as wealth increases, individuals have more resources to invest, leading to a higher demand for assets.

Holding All Other Factors Constant,the Quantity Demanded of an Asset