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Part II: Free Response. Typewritten, double space. Graphs may be done by hand, but please be neat and label completely for full credit. Many people

Part II: Free Response. Typewritten, double space. Graphs may be done by hand, but please be neat and label completely for full credit.

Many people are pleased with their investment performance if their portfolio increases in value over time. Briefly explain how these people could be making a (potentially expensive) behavioral economics (or behavioral finance) error?

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