Which of the Following Pairs of Stocks Seem to Offer

question 100

Multiple Choice

Which of the following pairs of stocks seem to offer the most diversification benefits?

• A) Exxon - Consolidated Coal
• B) Exxon - Tesla
• C) Netflix - Merck Pharmaceuticals
• D) Not enough information to accurately judge since correlation coefficients are not provided.

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Definitions:

Higher-order Conditioning

A form of learning in which a stimulus is paired with a previously conditioned stimulus, creating a new conditioned response.

Conditioned Stimulus

A previously neutral stimulus that, after becoming associated with an unconditioned stimulus, eventually comes to trigger a conditioned response.

Neutral Stimulus

A stimulus that initially produces no specific response other than focusing attention; in classical conditioning, it becomes associated with an unconditioned stimulus.

Operant Conditioning

A method of learning that occurs through rewards and punishments for behavior, emphasizing the effects of consequences on behavior.