Use the Information for the Question(s)below

question 95

Multiple Choice

Use the information for the question(s) below.
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 firms 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.
-What is the expected return for an individual firm?

• A)3%
• B)5%
• C)14%
• D)-5%

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Definitions:

Original Study

A primary research project that is conducted for the first time, aiming to gather data directly from sources or experiments rather than analyzing existing data.

Inupiat Graveyard

A cemetery specific to the Inupiat people, indigenous to Alaska, reflecting traditional burial practices and cultural values.

Eliciting Device

A tool or method used to provoke or draw out responses from individuals in a research setting or assessment context.

Informal Interview

In ethnography, a research technique involving an unstructured, open-ended conversation in everyday life.