The risk premium for common stocks

Select one:

a. cannot be zero, for investors would be unwilling to invest in common stocks.

b. must always be positive, in theory.

c. is negative, as common stocks are risky.

d. cannot be zero, for investors would be unwilling to invest in common stocks and must always be positive, in theory.

e. cannot be zero, for investors would be unwilling to invest in common stocks and is negative, as common stocks are risky.

Clear my choice