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Now, you will choose which of the two types of analysts will make the one-month-ahead price predictions for all 20 stocks. Note that you can only choose once and the analyst will make the predictions for all 20 stocks, and your payment depends on your choice of analyst. The more the number of accurate predictions made by your chosen analyst, the higher your payment will be.
As a reminder, we define an accurate prediction as follows: an analyst makes an accurate prediction if it is within $10 of the actual price in one month’s time; for example, let’s say the actual price ends up being $123, then any prediction in the range [$113, $133] is considered to be an accurate prediction.
Once you press the confirm button, you cannot go back. Think carefully before you make a decision.
Please raise your hand if anything is unclear.