Because the Computations for Different Market Indexes Are Essentially the Same,it

question 10

True/False

Because the computations for different market indexes are essentially the same,it really doesn't matter which index is used to determine how the performance of your investment portfolio compares to the market.

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Definitions:

Fundamental Attribution Error

The tendency to overemphasize personal traits and underestimate situational factors when explaining someone else's behavior.

Dispositionally

Pertaining to or resulting from one's inherent qualities of mind and character.

Self-serving Bias

A common cognitive bias where individuals attribute positive outcomes to their own actions but blame external factors for negative outcomes.

Dispositional Explanation

An attribution that ascribes behavior to innate qualities of the individual, such as personality traits or temperaments, rather than to external circumstances.