Study the average increase in the price of a stock

Reference no: EM13903627

A researcher wants to analyze the average yearly increase in a stock over a 20-year period. To do so, she plans to randomly choose 100 stocks from the listing of current stocks, discarding any that were not in existence 20 years ago.

She will then compare the current price of each stock with its price 20 years ago to determine its percentage increase. Do you think this is a valid method to study the average increase in the price of a stock?

Reference no: EM13903627

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