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Which of the Following Statements About Sluggish Beta Is False

Question 13

Multiple Choice

Which of the following statements about sluggish beta is false?


A) sluggish beta is more evident for probabilities than payoffs
B) sluggish beta is not related to an observer's sensitivity
C) sluggish beta is a laboratory phenomenon and does not occur in the real world
D) sluggish beta means that people cannot adjust their criterion in an optimal manner

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