Which Claim Is Falsifiable

question 18

Multiple Choice

Which claim is falsifiable?

• A)Men are more physically aggressive than women.
• B)A weak superego is at the root of psychopathy.
• C)Bad things happen to bad people because of karma.
• D)Introspection is a valid approach to studying sensation.

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Definitions:

Black, Jensen, and Scholes

Refers to scholars who contributed to the development of financial theories and models, most notably the Black-Scholes model for pricing options.

Two-Stage Regression

A statistical analysis method used when there are indirect causal relationships, involving first regressing an independent variable on an instrumenting variable, then the outcome on the fitted values from the first stage.

CAPM

The Capital Asset Pricing Model, a theory describing the relationship between systematic risk and expected return for assets, particularly stocks.

Market Beta

A measure of the volatility of a security or a portfolio in comparison to the market as a whole.