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Which statement is the most important when taking an equity lens to health:
Political Cost Hypothesis
A theory suggesting that larger firms are more likely to be subject to government scrutiny and regulation, thus incurring additional costs to comply with political expectations.
Political Costs
Wealth transfers imposed on the entity, resulting from political processes.
Accounting Policies
Specific convictions, understructures, modes, prescriptions, and regimens enacted by an entity for the generation and proclamation of financial analyses.
Market Efficiency
The concept that all available information is fully reflected in securities' prices, making it impossible to consistently achieve higher returns without taking on additional risk.
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