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Figure 17-6
-The long-run Phillips curve in Figure 17-6 (b) would include which of the following points?
Active Portfolio
An active portfolio involves strategic buying and selling of stocks or other securities, managed by analysts or fund managers, aiming to outperform the market average or a benchmark index.
Sharpe Measure
Sharpe Measure, or Sharpe ratio, is used to assess the performance of an investment by adjusting for its risk, comparing the excess return over the risk-free rate to the standard deviation of the investment.
Personal Risk-Aversion
An individual's degree of unwillingness to accept uncertainty in investment outcomes or financial decisions.
Treynor-Black Model
A portfolio optimization model that blends a passively managed market portfolio with actively managed portfolios to achieve higher risk-adjusted returns.
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