Which Term Does NOT Belong with the Others

question 19

Multiple Choice

Which term does NOT belong with the others?

• A) alternate-form
• B) predictive
• C) split-half
• D) test-retest

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Definitions:

Efficient Markets Hypothesis

A theory stating that asset prices fully reflect all available information, making it impossible to consistently achieve higher returns than the average market return.

Random Walk

The path of a variable whose changes are impossible to predict.

Marginal Utility

The additional satisfaction or usefulness gained from consuming one more unit of a good or service.

Risk-averse

Describes individuals or entities that prefer to avoid risk and would rather choose a certain outcome over a gamble with a potentially higher, but uncertain, return.