You are thinking about investing your money in the Palestinian stock market. You have the following two stocks in mind: stock A and stock B. You know that the economy can either go in recession or it will boom. Being an optimistic investor, you believe the likelihood of observing an economic boom is sixty five observing an economic depression. You also know the following about your two stocks:

You are thinking about investing your money in the Palestinian stock market. You have the following two stocks in mind: stock A and stock B. You know that the economy can either go in recession or it will boom. Being an optimistic investor, you believe the likelihood of observing an economic boom is sixty five observing an economic depression. You also know the following about your two stocks: Probability RA RB State of the Economy Boom 10% -6% Recession 6% 30%