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A stock is expected to return 9% in a normal economy, 13% if the economy booms, and lose 8% if the economy moves into a
A stock is expected to return 9% in a normal economy, 13% if the economy booms, and lose 8% if the economy moves into a recessionary period. Economists predict a 67% chance of a normal economy, a 21% chance of a boom, and a 12% chance of a recession. The expected return on the stock is ______%.
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