Which of the Following Variables Do Fama and French Claim

question 46

Multiple Choice

Which of the following variables do Fama and French claim do a better job explaining stock returns than beta?
I. Book-to-market ratio
II. Unexpected change in industrial production
III. Firm size

• A) I only
• B) I and II only
• C) I and III only
• D) I, II, and III

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Definitions:

Norepinephrine

A neurotransmitter and hormone involved in the body's fight or flight response, affecting attention and responding actions.

Adrenaline

A hormone and neurotransmitter also known as epinephrine, released in response to stress or excitement, causing increased heart rate and energy.

SSRI

A type of antidepressant called selective serotonin reuptake inhibitor, used to treat depression by increasing serotonin levels in the brain.

Serotonin

A neurotransmitter that plays a key role in mood regulation, digestion, sleep, and other bodily functions.