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Consider an economy with two types of firms,S and I.S firms always move together,but I firms move independently of each other.For both types of firm there is a 70% probability that the firm will have a 20% return and a 30% probability that the firm will have a -30% return.
-The standard deviation for the return on an portfolio of 20 type I firms is closest to:
Honesty
The quality of being truthful, transparent, and sincere in one's dealings and communications.
Altruism
Altruism refers to the selfless concern for the well-being of others without expecting any reward or benefit in return.
Integrity
The quality of being honest and having strong moral principles, crucial for trustworthiness in social and professional settings.
Emotional Intelligence
The capability to recognize, understand, and manage one's own emotions and to comprehend and influence the emotions of others.
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