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The Chinese stock market has averaged roughly 11.5% annual returns for the past century, with a standard deviation of 18.6%. If the average return on
The Chinese stock market has averaged roughly 11.5% annual returns for the past century, with a standard deviation of 18.6%. If the average return on government bonds was 6.5% per annum, the implied risk aversion for the average investor is closest to:
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1.44
0.268
2.68
.014
3.32
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