When the Covariance of Two Assets Is Negative,then the Two

question 28

True/False

When the covariance of two assets is negative,then the two variables move in opposite directions: when one rises the other falls.

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Definitions:

Reinforcement

In psychology, a process by which a behavior is strengthened or increased in frequency by the outcome that follows it.

Boss's Praise

Positive feedback or approval from someone's supervisor or employer, often serving as a motivational tool and a recognition of good work.

Classical Conditioning

A learning process that occurs when two stimuli are repeatedly paired: a response that is at first elicited by the second stimulus is eventually elicited by the first stimulus alone.

Operant Conditioning

A method of learning that occurs through rewards and punishments for behavior, pioneered by B.F. Skinner.