Jagannathan and Wang (2006) Find That the CCAPM Explains Returns

Multiple Choice

Jagannathan and Wang (2006) find that the CCAPM explains returns ______ the Fama-French three-factor model, and that the Fama-French three-factor model explains returns ______ the traditional CAPM.

A) worse than; worse than
B) worse than; better than
C) better than; better than
D) better than; worse than
E) equally as well as; equally as well as