The Expected Return Is Usually ________ the Baseline Risk-Free Rate

question 59

Multiple Choice

The expected return is usually ________ the baseline risk-free rate of return that we demand to compensate for inflation and time value of money.

• A)lower than
• B)higher than
• C)similar to
• D)much lower than
• E)independent of

---

Definitions:

Self-Efficacy

The belief in one's abilities to succeed in specific situations or accomplish a task.

Need to Belong

A fundamental human motivation to form and maintain positive, stable interpersonal relationships with others.

Extrinsic Motivation

A type of motivation driven by external rewards, such as money, fame, grades, or praise, rather than internal satisfaction.

Achievement Motivation

A psychological concept that drives individuals to pursue and attain goals, often associated with a desire for success.