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The Rescorla-Wagner Model of the Cognitive Components of Conditioning States

question 173

Multiple Choice

The Rescorla-Wagner model of the cognitive components of conditioning states that the strength of the conditioned stimulus-unconditioned stimulus association depends on how _____ the unconditioned stimulus is.


Definitions:

Abnormal Return

The difference between the actual return of an investment and the expected return given its risk profile and market performance.

Price Drift

The slow and incremental movement in the price of an asset, reflecting gradual changes in investors' valuation over time.

Contrarian Approach

An investment strategy that involves going against prevailing market trends or sentiments, buying underperforming assets, and selling when they perform well.

Abnormal Returns

Returns on a security that exceed or fall below what is anticipated based on market or model predictions, often attributed to unexpected events.

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