In the empirical study of a multifactor model by Chen, Roll, and Ross, a factor that did not appear to have significant explanatory power in explaining security returns was
A. the change in the expected rate of inflation.
B. the risk premium on corporate bonds.
C. the unexpected change in the rate of inflation.
D. industrial production.
A. the change in the expected rate of inflation.
Of the variables tested, Chen, Roll, and Ross found that the risk premium on corporate bonds, the unexpected change in the rate of inflation, and industrial production were significant predictors of security returns.
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Small Business Innovation Research grants are funded by federal agencies, which provide a portion of their R&D funds to small businesses.
Answer the following statement true (T) or false (F)
A ______ is something we know is true on the basis of observation; a(n) ______ is a conclusion we draw whether it is supported by facts or not.
Fill in the blank(s) with the appropriate word(s).
Under a guaranty of __________, the guarantor's obligation to pay the lender is triggered automatically when the debtor fails to make a payment when due
a. security b. collection c. payment d. performance
Which of the following statements is not true of disability insurance?
A) You should have it even if you are retired and living on a pension. B) The amount of coverage should equal your disposable income. C) If you are self-employed you should have disability insurance. D) All of the above are true of disability insurance.