The Risk Premium for Common Stocks

question 43

Multiple Choice

The risk premium for common stocks

• A) cannot be zero, for investors would be unwilling to invest in common stocks.
• B) must always be positive, in theory.
• C) is negative, as common stocks are risky.
• D) cannot be zero, for investors would be unwilling to invest in common stocks and must always be positive, in
• E) cannot be zero, for investors would be unwilling to invest in common stocks and is negative, as common

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