Compute the average return for each of the assets from

1929

to

1940

(the Great Depression).

b. Compute the variance and standard deviation for each of the assets from

1929

to

1940

.

c. Which asset was riskiest during the Great Depression? How does that fit with your intuition?

Note:

Notice that the answers for average return, variance and standard deviation must be entered in decimal format.

Question content area bottom

Part 1

a. Compute the average return for each of the assets from

1929

to

1940

(the Great Depression).

The average return for the S&P 500 was

enter your response here

.

(Round to five decimal places.)

Yearly returns from 1929-1940 for the S&P 500, small stocks, corporate bonds, world portfolio, Treasury bills, and inflation (as measured by the CPI).
Year	S&P 500	Small Stocks	Corp Bonds	World Portfolio	Treasury Bills	CPI
1929	-0.08907	-0.50467	0.04321	-0.07692	0.04737	0.00746
1930	-0.25257	-0.45583	0.06343	-0.22574	0.02347	-0.0642
1931	-0.43858	-0.50216	-0.0238	-0.39305	0.01023	-0.09235
1932	-0.08861	0.08696	0.12198	0.0303	0.00806	-0.10465
1933	0.52895	1.872	0.05255	0.66449	0.00293	0.00974
1934	-0.02341	0.25209	0.09728	0.02552	0.00155	0.01286
1935	0.47208	0.64739	0.0686	0.22782	0.00165	0.03175
1936	0.32801	0.87508	0.0622	0.19283	0.00175	0.01231
1937	-0.35258	-0.53403	0.02546	-0.1695	0.00319	0.0304
1938	0.33199	0.26275	0.04357	0.05614	0.00041	-0.0295
1939	-0.0091	0.00184	0.04247	-0.01441	0.00008	0
1940	-0.10082	-0.1234	0.04512	0.03528	-0.00058	0.00912