6. An investor takes as large a position as possible when an equilibrium price relationship is violated.

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6. An investor takes as large a position as possible when an equilibrium price relationship is violated.

This is an example of:

a. A dominance argument.

b. The mean-variance efficient frontier.

c. Arbitrage activity.

d. The capital asset pricing model.

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Investments

ISBN: 9780077261450

8th Edition

Authors: Zvi Bodie, Alex Kane, Alan J. Marcus

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