According to the image and choose Theb_iin the regression

1 points Save Answer QUESTION 2 Consider the following linear regression model: (R; - rt) = Q;+b; (RMKT - It)+ e; The by in the regression measures the diversifiable risk in returns. O measures the historical performance of the security relative to the expected return predicted by the SML. measures the deviation from the best fitting line and is zero on average. O measures the sensitivity of the security to market risk