Consider the following linear regression model: Re; = dit BiRT, m + Et,i, where Re; is the excess return on an asset i, Re is the excess return on the market and Et.; is a standard shock with the following properties E[Et,i] = 0 and V[et,i] = o2, for all assets i. Notice that the model implies the CAPM if ai = 0 for all assets i. In fact: E(Re ;) = ai + BiE(Re,m). 1. (15 points. ) What is the economic interpretation of ai