1.Regression to the mean explains why, on the average, ....
-chldren of tall parents tend not to be taller than their parents. |
-football players selected for outstanding statistics often do not live up to expectations. |
-investing in stocks based on high past performance is a bad idea. |
-all of the above |
Regression to the mean which is basically a statistical phenomenon according to which a data that is extremely higher or lower than the mean will likely be closer to the mean if it is measured a second time. Thus it explains why, on the average;
Children of tall parents tend not to be taller than their parents.
Football players selected for outstanding statistics often do not live up to expectations. (Outstanding statistics is an extreme) This is the correct option.
Investing in stocks based on high past performance is a bad idea.
All of the above is the correct option as all may apply.
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