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Who Created This Model,and What Was Its Purpose? Why Is

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Who created this model,and what was its purpose? Why is an important precursor of things to come in the later twentieth century?


Definitions:

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.

Beta

A measure of a stock's volatility in relation to the overall market, indicating the level of risk associated with investing in the stock.

Residual Standard Deviation

A statistical measure that quantifies the amount by which an investment's returns deviate from its expected benchmark performance.

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