4. Systematic versus unsystematic risk [LO 13.3] Indicate whether the following events might cause shares in general to change price, and whether they might cause Big Widget Company's shares to change price:

1. The government announces that inflation unexpectedly jumped by 2 per cent last month.

2. Big Widget’s half-yearly earnings report, just issued, generally fell in line with analysts’ expectations.

3. The government reports that economic growth last year was at 3 per cent, which generally agreed with most economists’ forecasts.

4. The directors of Big Widget die in a plane crash.

5. The government approves changes to the tax act that will increase the company tax rate. The legislation had been debated for the previous six months.