Which of the Following Statements Is FALSE

question 39

Multiple Choice

Which of the following statements is FALSE?

• A)The most important example of non-tradeable wealth is human capital.
• B)If investors have a significant amount of non-tradeable wealth,this wealth will be an important part of their portfolios,but will not be part of the market portfolio of tradeable securities.
• C)If the entire portfolio of investments is efficient,then just the tradeable part of the portfolio should be efficient also.
• D)Researchers have found evidence that the presence of human capital can explain at least part of the reason for the inefficiency of the most commonly used market proxies.

---

Definitions:

Operant Conditioning

A method of learning that employs rewards and punishments for behavior, creating an association between the behavior and the consequence for that behavior.

Alcohol Use Disorders

Medical conditions characterized by an impaired ability to stop or control alcohol use despite adverse social, occupational, or health consequences.

Substance Use Disorders

Conditions in which the use of one or more substances leads to a clinically significant impairment or distress.

Purging Behaviour

Involves engaging in methods to expel food from the body, commonly associated with eating disorders such as bulimia nervosa.