Researchers Conducted an Experiment to Determine If Children Who Participate

question 2

Multiple Choice

Researchers conducted an experiment to determine if children who participate in a new after-school tutoring program do better on state-mandated tests than children who do not attend the program. What are the treatment and outcome variables?

• A)The treatment variable is participation in the after-school program.The outcome variable is whether or not a child attended.
• B)The treatment variable is participation in the after-school program.The outcome variable is the test score on the state-mandated test.
• C)The treatment variable is the state-mandated test.The outcome variable is the participation in the after-school program.
• D)The treatment variable is the state-mandated test.The outcome variable is the test score on the state-mandated test.

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Definitions:

Beta

An indicator of how volatile a stock is compared to the general market, where a beta greater than 1 signifies volatility above the market average.

Risk Averse

A term describing investors or consumers who prefer lower risk and are willing to accept lower returns in exchange for increased certainty or safety.

Market Risk Premium

The additional return an investor expects to receive from holding a risky market portfolio instead of risk-free assets.

SML

Stands for Security Market Line, a graphical representation of the expected return of investments at different levels of systematic, or market, risk.