What Has Been the Approximate Standard Deviation of Returns of U.S.common

question 32

Multiple Choice

What has been the approximate standard deviation of returns of U.S.common stocks during the period between 1900 and 2014?

• A)19.9 percent
• B)33.4 percent
• C)8.9 percent
• D)2.8 percent

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Definitions:

Descriptive Statistics

Statistical methods that summarize and describe the features of a dataset through metrics such as mean, median, mode, and standard deviation, without drawing conclusions about the population from which the sample was drawn.

Inferential Statistics

Statistical methods that allow researchers to make predictions or inferences about a population based on a sample.

Large Sample Sizes

The use of a substantial number of participants or observations in research to increase the validity and reliability of the findings.

Inferential Statistics

It is the branch of statistics that deals with drawing conclusions and making predictions about a population based on a sample.