How do you graph a market beta - what should be on the


1. How do you graph a "market beta"? What should be on the x-axis, and what should be on the y-axis? What is an individual data point?

2. What is the market beta of the market?

3. What are the two main functions of brokerage firms?

4. How does a prime broker differ from a retail broker?

5. Is your rate of return higher if you short a stock in the perfect world or in the real world? Why?

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