The Point of Tangency Between the Efficient Frontier and the Security

question 40

True/False

The point of tangency between the efficient frontier and the Security Market Line is considered to represent an optimum portfolio.

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Definitions:

Dishabituation

A renewal of response to a stimulus after a previously habituated response has declined, indicating a recovery of attention or responsiveness.

Heart Rate

The number of heartbeats per unit of time, typically expressed in beats per minute (bpm).

Drowsy

A state of feeling sleepily tired or lethargic, often leading to a reduced level of alertness.

Habituation-dishabituation Paradigm

A research method used in psychology to study the process of becoming accustomed to a stimulus over time and then responding to a novel stimulus.