The "Magic Number 7 Plus or Minus 2" Was First

question 69

Multiple Choice

The "magic number 7 plus or minus 2" was first identified by psychologist ____.

• A)Alan Baddeley
• B)George Sperling
• C)George Miller
• D)Richard Atkinson

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Definitions:

Residual Standard Deviation

A measure of the amount of variance in a dataset or model that is not explained by the predictive variables or the model itself, often used in regression analysis.

Beta

A measure of a stock's volatility in relation to the overall market; a beta greater than 1 indicates higher volatility.

Treynor's Measure

A performance metric for determining how well an investment compensates the investor for its risk, comparing returns to the market portfolio.

Residual Standard Deviation

A measure of the amount by which an observation differs from its expected value, specifically in the context of a regression model.