Calculating the various statistical measures
Here are the inflation rates and U.S. stock market and
Treasury bill returns between 1929 and 1933: 1929 Inflation=-2, Stock Market
Return=-14.5, T-Bill Return=4.8. 1930: Inflation=-6.0, Stock Market
Return=-28.3, T-Bill Return=2.4. 1931: -9.5, -43.9 and 1.1. 1932: -10.3, -9.9
and 1.0. 1933: .5, 57.3 and .3.
A. What was the real retun on the stock market in each year.
B. What was the average real return?
C. what was the risk premium in each year?
D. What was the average risk premium?
E. What was the standard deviation of the risk premium?





