Q1. Of the following explanations, which is least likely to be a valid explanation for divergence between statistical significance and economic significance? A) Transactions costs. B) Adjustment for risk. C) Data errors.
Q2. Which of the following statements about statistical results is most accurate? A) If a result is statistically significant and economically meaningful, the relationship will continue into the future. B) If a result is statistically significant, it must also be economically meaningful. C) A result may be statistically significant, but may not be economically meaningful.
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