Which of the Following Individuals Is Most Likely to Experience

question 353

Multiple Choice

Which of the following individuals is most likely to experience the stereotype threat?

• A) John,who is taking the SAT with fellow classmates
• B) Miguel,who is Mexican-American and is taking the SAT with his classmates,of whom 90 percent are Mexican-American
• C) Jackie,who attends an all-girl prep school and is taking the SAT with her classmates
• D) Malik,who is the only African-American taking the SAT with White students

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Definitions:

Investment Risk

The potential for loss of value in an investment, often measured by the variability of returns associated with a given asset.

Risk-averse Investor

A risk-averse investor is someone who prefers to minimize financial risk and is likely to choose investments with lower potential returns to avoid losing money.

Perfect Positive Correlation

A statistical measure indicating that two variables move in the same direction at the same rate all the time.

Diversification

A risk management strategy involving the mixing of different investments within a portfolio to reduce exposure to any single asset or risk.