Question: A study by Mehra and Prescott ( 1 9 8 5 ) found that historical average excess returns: Multiple Choice have been too small to

A study by Mehra and Prescott (1985) found that historical average excess returns:
Multiple Choice
have been too small to be consistent with rational security pricing.
have been too small to be consistent with fractional security pricing.
prove the market is efficient.
have been too large to be consistent with rational security pricing.
prove CAPM is incorrect.

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