Based on Past Evidence, If an Industry Has the Number

question 3

Multiple Choice

Based on past evidence, if an industry has the number one ranking on price performance, which of the following statements is most accurate? The investor should:

• A) not expect that same industry to be ranked number one again next year.
• B) expect that industry to maintain its top ranking for five years or more.
• C) expect that industry to do well over the next 10 to 20 years.
• D) expect that industry to drop out of the top ten rankings within five years.

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Definitions:

Fender Bender

A minor car accident primarily resulting in cosmetic damage to the vehicle, without significant injuries to the involved parties.

Positive Punishment

The addition of an undesirable stimulus to decrease a behavior, such as adding chores for breaking rules.

Texting

The act of sending and receiving short written messages via mobile phone.

Unpleasant Stimulus

An external factor that causes discomfort or displeasure, often used in psychological experiments to provoke a response.