The Following Approaches) Has/have Been Recommended to Control for Halo

question 49

Multiple Choice

The following approaches) has/have been recommended to control for halo effect:

• A) supervise the supervisors during the rating
• B) practice simulations before doing the ratings
• C) provide supervisors with a short lecture on halo
• D) all of the above

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Definitions:

Fisher Effect

The economic theory proposing that the real interest rate is independent of monetary measures, especially the nominal interest rate and the expected inflation rate.

Real Interest Rate

The rate of interest an investor expects to receive after allowing for inflation, showing the real gain of an investment.

After-tax Real Rate

The actual income rate of return on an investment, after accounting for inflation and taxes.

After-tax Real Rate

The after-tax real rate is the interest rate that remains after adjusting for both taxes and inflation, showing the real earning power of money over time.