What Causes One Firm to Have a Higher (Or Lower)P/E

question 20

Essay

What causes one firm to have a higher (or lower)P/E ratio than another firm?

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Definitions:

Obedience

The act of following the directions or commands of an authority figure.

Bystander Intervention Effect

The failure to offer help to people in need.

Conformity

The act of matching attitudes, beliefs, and behaviors to group norms, policies, or societal expectations.

Obedience

A form of social influence where an individual acts in response to a direct order from another individual, usually an authority figure.