Which of the Following Is NOT Considered to Be an Important

question 32

Multiple Choice

Which of the following is NOT considered to be an important choice when estimating beta?

• A)The choice of the time horizon to use for estimation
• B)The choice of method used to extrapolate beta
• C)The choice between weekly and monthly returns
• D)The choice of index used as the market portfolio

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Definitions:

Unconditioned Stimulus

A stimulus that naturally and automatically triggers a response without the need for prior learning.

Variable-interval

In the context of psychology, a schedule of reinforcement where a response is rewarded after an unpredictable amount of time has passed.

Reinforcement Principles

Psychological concepts that involve strengthening a behavior by providing a desirable consequence or removing an undesirable one.

Stimulus Generalization

The process by which a conditioned response is triggered by stimuli that are similar but not identical to the original conditioned stimulus.