Which of the Following Explains the Pygmalion Effect

question 19

Multiple Choice

Which of the following explains the Pygmalion effect?

• A) Employees who commit fraud are likely to do so more than once.
• B) The probability of fraud detection increases with the number of people involved.
• C) People generally perform according to a leader's expectations.
• D) Absence of controls leads to increased incidents of dishonesty.

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Definitions:

Portfolio's Beta

A measure of the overall volatility or risk of an investment portfolio in comparison to the market as a whole.

S&P500 Value

A measurement of the stock performance of 500 large companies listed on stock exchanges in the United States.

Portfolio Value

The total market value of all the investments held by an individual or institution, including stocks, bonds, and other securities.

Covered Interest Arbitrage

A strategy involving the conversion of currency into another at current exchange rates, investment in foreign interest-bearing instruments, and the simultaneous hedging of exchange rate risk with a forward contract.