Multiple Choice
One of the assumptions of the CAPM is that investors exhibit myopic behavior.What does this mean?
A) They plan for one identical holding period.
B) The are price-takers who can't affect market prices through their trades.
C) They are mean-variance optimizers.
D) They have the same economic view of the world.
E) They pay no taxes or transactions costs.
Correct Answer:
Verified
Correct Answer:
Verified
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