1. Explain what the values of the betas (the slope coefficients in the regression) indicate and discuss the factors that might explain the differences in the values of the betas
2. How do I intend to monitor the financial system and the economy going forward?
3. A stock has an expected return of 13.5 percent, its beta is 1.45, and the risk-free rate is 6.5 percent. What must the expected return on the market be? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Market expected return %