Jack and Jill Are Twins

question 141

Multiple Choice

Jack and Jill are twins. Because he is a boy, Jack's parents encourage him to run. However, they discourage Jill from engaging in athletic activity. As a result, Jack is much faster at running up a hill than Jill. The difference in Jack and Jill's behavior is best explained by

• A) nonshared environmental influences.
• B) active gene-environment relations.
• C) polygenetic effects.
• D) niche-picking.

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Definitions:

Forecasted Market Return

An estimation of the future returns that will be generated by the market over a specific period.

T-Bill Rate

The yield or interest rate paid to investors in U.S. Treasury bills, often seen as a benchmark for short-term interest rates.

Adjusted Beta

A measurement that accounts for potential changes in the volatility or risk of a stock's returns, used to better predict future performance by adjusting historical beta values.

Single Index Model

A simplified methodology to estimate the returns of a security or portfolio using the performance of a single market index to explain the returns.