Here are and treasury bills returns between 1997 and 2001
Year stock t bill
Market return
1997 31.29 5.26
1998 23.43 4.86
1999 23.56 4.68
2000 (– 10.89) 5.89
2001 ( – 10.97) 3.83
What was the risk premium on s&p 500 in in each year ?
What was the average this premium ?
What was the standard deviation of the premium?