Which investment is vulnerable to sudden changes in economy, Project Management

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Which investment is vulnerable to sudden changes in economy

Problem

Ben has just purchased a long-term government bond and expects to make a 7% return. Donna has just purchased a stock in a new start-up company but expects to make a 20% return. Why is Donna expecting a higher return? Which investment is riskier over time? Which investment is more vulnerable to sudden changes in the economy?

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