In Regard to the Influence of Practical Intelligence on Occupational

question 62

Multiple Choice

In regard to the influence of practical intelligence on occupational success, people high in practical intelligence tend to have

• A) less occupational success than do others.
• B) more occupational success than do others, but this effect largely disappears once IQ score is taken into account.
• C) more occupational success than do others, and this effect remains even once IQ score is taken into account.
• D) There is no association between practical intelligence and occupational success.

---

Definitions:

Nonsystematic Variance

Nonsystematic variance, also known as unsystematic risk, is the portion of an investment's risk that is attributable to the specific risk of its issuer and can be mitigated through diversification.

Security Market Line

A graphical representation of the capital asset pricing model, showing the expected return of an investment as a function of its systemic risk.

Nonsystematic Risk

The risk associated with an individual asset or investment, resulting from factors specific to its issuer's performance and not the broader market.