Variance and standard deviation (expected). Hull Consultants, a famous think tank in the Midwest, has provided probability estimates for the four potential economic states for the coming year. The probability of a boom economy is 14%, the probability of a stable growth economy is 17%, the probability of a stagnant economy is 49%, and the probability of a recession is 20%. Calculate the variance and the standard deviation stock? Investment Boom Forecasted Returns for Each Economy Stable Growth Stagnant 10% 6% 7% 6% 6% 5% Stock Corporate bond Government bond 26% 9% 8% Recession - 15% 3% 2%