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Expected Return Compute the expected return given these three economic states, their likelihoods, and the potential returns: Probability .1 Economic State Fast Growth Slow Growth

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Expected Return Compute the expected return given these three economic states, their likelihoods, and the potential returns: Probability .1 Economic State Fast Growth Slow Growth Recession Return 24% 10% -25% .8 .1 7.9% 9.0% 11.3% 12.9%

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