In One Study, People Who Make Their Living Predicting World

question 97

Multiple Choice

In one study, people who make their living predicting world events (government officials, foreign policy professors, newspaper columnists, etc.) were asked to predict U.S. and world politics over the next several years. Those who were most accurate were more likely than others to

• A) be extremely conservative, politically.
• B) be extremely liberal, politically.
• C) base their predictions on historical analogy.
• D) have reservations about the accuracy of their predictions.

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Definitions:

Equity Method

An accounting technique used to reflect the investment in another company, typically applied when an investing entity holds significant influence over the investee.

Investee Earnings

The share of income that an investor recognizes from its investment in another entity.

Net Income

Net Income is the total profit or earnings of a company after all expenses, taxes, and costs have been deducted from total revenue.