The Psychological Effects of Divorce on Kids - Free Essay Example

Sample details Pages: 8 Words: 2528 Downloads: 7 Date added: 2019/06/24 Category Psychology Essay Level High school Tags: Divorce Essay Did you like this example? Children everywhere grow up in broken homes. According to National Center for Health Statistics, there was 2,245,404 marriages and 827,261 divorces in 2016. A great amount of marriages ended that year. Ive known that a lot of parents want to just stay together for their kids, but some think divorce is their only option. The main concern is how their children will deal with the divorce. How much does a parents divorce really effect their children? Stated in the article The Psychological Effects of Divorce on Children, the first year after a divorce is the toughest. Divorce rates have climbed across the globe over the past few decades. Its estimated that fourty-eight percent of American and British children live in divorced single-parent homes by age sixteen. As you might expect, research has found that kids struggle the most during the first year or two after the divorce. Kids are likely to experience distress, anger, anxiety, and disbelief. But many kids seem to bounce back. They get used to changes in their daily routines and they grow comfortable with their living arrangements. Others, however, never really seem to go back to normal. This small percentage of children may experience ongoing†possibly even lifelong†problems after their parents divorce. Don’t waste time! Our writers will create an original "The Psychological Effects of Divorce on Kids" essay for you Create order As also shown in The Impact of Divorce on Young Children and Adolescents by Carl E. Pickhart, divorce introduces a massive change into the life of a boy or girl no matter what the age. Witnessing loss of love between parents, having parents break their marriage commitment, adjusting to going back and forth between two different households, and the daily absence of one parent while living with the other, all create a challenging new family circumstance in which to live. In the personal history of the boy or girl, parental divorce is a watershed event. Life that follows is significantly changed from how life was before. While a lot of marriages last there is cases like divorce for many homes. In general, divorce creates emotional chaos for the entire family, but for kids, the situation can be quite scary, confusing, and frustrating. How much does a parents divorce really effect their children? It truly can take a toll on the kids, but it can also affect the entire family. In this era one of the more sobering realities of life is divorce (USA Today). Marriages end over a host of issues, including infidelity, stress, money troubles, and personal changes by one or both partners over the course of a marriage. Divorce can be an emotionally wrenching experience and can fracture families. For many children, divorce leaves scars that never heal. About forty percent to fifty percent of married couples in the United States divorce, according to the American Psychological Association. The divorce rate among those who remarry is even higher. (Masci) report he states, almost half of all-American children must cope, at some point in their lives, with the disintegration of their parents marriage. A controversial new study he found by psychiatrist Judith Wallerstein contends that the children of divorce are much more likely to be troubled as adults and that couples with kids need to try harder to remain married. But critics describe the study as unscientific and argue that bad marriages often end up doing more harm than good to the whole family. Child-advocacy experts also disagree over the impact of custody arrangements. Some favor joint physical custody because they say it allows both parents to remain involved in their childrens lives. But others say that forcing a child to live in two homes is disruptive and makes an already difficult situation worse. Research shows, divorce can be a wrenching experience for children(Jost and Robinson). New studies suggest the painful effects of their parents breakup can stay with children for years. Many will not do well in school or jobs, and some will fail in their own marriages later on. The studies have intensified the debate over the no-fault divorce laws that made it easier for couples to dissolve their marriages. Some experts say the new findings on the effects of divorce on children are exaggerated, and no one expects a substantial movement away from liberalized divorce laws. But some therapists are urging couples in distress to try harder to resolve their problems rather than get a divorce. And there is broad agreement that children of divorce need greater support†financial, social and psychological†to avoid becoming innocent victims of their parents breakup. According to Coping socialization in middle childhood: Tests of maternal and paternal influences , in sum, social learning theory suggest that childrens coping may be strongly influenced by what their parents do to cope. Stated in the article, parents may influence their childrens coping choices by modeling how they handle their own stressful situations that arise. Based on social learning literature, we would expect overt parental coping behaviors to be modeled most readily. In a study of sixty-one children and adolescents with Sickle Cell Disease, there was a significant negative correlation between childrens expression of emotion when coping with SCD-related pain and mothers use of social support coping and emotion-focused engagement. Research shows, a number of studies have linked the family environment to childrens coping strategies. In a study with sixty school-age children and their mothers found that maternal support was associated with childrens use of a greater variety of c oping strategies with everyday problems, and with greater use of avoidant strategies. Parents as role models effect on children is shown in Parents are Powerful Role Models for Children by Karen Stephens. She is the director of the Illinois State University childcare center and shes an instructor in child development. For nine years Stephens wrote a weekly parenting column in her local newspaper. She has authored early care and education books and is a frequent contributor to Exchange. As in Stephens article, children, in general, do tend to grow up to be a lot like their parents. Social scientists and genetic researchers have identified many cycles that loop from one generation to the next. Children who live in homes where parents smoke are more likely to become smokers. Parents who abuse drugs or alcohol are more likely to find their children someday do the same. Adults who were abused as children may indeed hurt their own children. And thats not all. Parents with a low self-esteem raise children with the same affliction. Stephens states, Parents play a major role o n how our children turn out. An if you just look around your communities you will see that happening everywhere. Parental divorce affects childrens physical health and longevity (Physical Health). Those who experience parental divorce or separation are more likely to have health problems. Often in spite of maternal remarriage, such as a significant increase in injury rates, an increased risk of asthma, and increased risk of asthma-related emergencies.Children whose parents divorce are also more likely to contract cancer of the upper aerodigestive tract, the esophagus, anus, pancreas, lungs, and cervix. Researchers Kari Hemminki and Bowang Chen state, The results show that offspring of divorced parents have increased cancer risks at tobacco-related, alcohol-related and sex-related sites. A Swedish study showed that young men with divorced parents had a slightly heightened risk of hospitalization and significantly increased risk of mortality. Upon the divorce of their parents, children experience a wide range of emotional reactions, including sadness, anger, loneliness, depression which frequently lasts into later phases of life, heightened anxiety, worry, lower life satisfaction, lower self-esteem and self-confidence, fear, yearning, rejection, conflicting loyalties, and a sense of fault for their parents problems (Mental Health). An analysis by David Popenoe of the National Survey of Children found that divorce was associated with a higher incidence of several mental health problems in children: depression; withdrawal from friends and family; aggressive, impulsive, or hyperactive behavior; and either behaving disruptively or withdrawing from participation in the classroom. Parental divorce may also contribute to the development of mood disorders, bipolar I disorder, dysthymia (mild chronic depression), depression, and post-traumatic stress disorder. Divorce is related to increased depression and anxiety for both boys an d girls of all ages. However, boys find parental divorce more emotionally disturbing than girls do, and boys with divorced parents tended to be more depressed than those from two-parent families regardless of the psychological adjustment, level of conflict, or quality of parenting manifested by their parents. Psychological problems are less severe for those whose pre-divorce families were high-conflict families. According to Paul Amato of the Department of Sociology at Pennsylvania State University, child and adult well-being may actually improve after the end of an extremely conflicted marriage. Research shows through, The Impact of Divorce on Young Children and Adolescents by Carl E Pickhardt, how divorce introduces a massive change into the life of a boy or girl no matter what the age. Witnessing loss of love between parents, having parents break their marriage commitment, adjusting to going back and forth between two different households, and the daily absence of one parent while living with the other, all create a challenging new family circumstance in which to live. In the personal history of the boy or girl, parental divorce is a watershed event. Life that follows is significantly changed from how life was before. He says, somewhat different responses to this painful turn of events occur if the boy or girl is still in childhood or has entered adolescence. Basically, divorce tends to intensify the childs dependence and it tends to accelerate the adolescents independence; it often elicits a more regressive response in the child and a more aggressive response in the adole scent. Consider why this variation may be so. (Pickhardt) states, the childs world is a dependent one, closely connected to parents who are favored companions, heavily reliant on parental care, with family the major locus of ones social life. The adolescent world is a more independent one, more separated and distant from parents, more self-sufficient, where friends have become favored companions, and where the major locus of ones social life now extends outside of family into a larger world of life experience. For the young child, divorce shakes trust in dependency on parents who now behave in an extremely undependable way. They surgically divide the family unit into two different households between which the child must learn to transit back and forth, for a while creating unfamiliarity, instability, and insecurity, never being able to be with one parent without having to be apart from the other. As in his article, convincing a young child of the permanence of divorce can be hard when his intense longing fantasizes that somehow, some way, mom and dad will be living back together again someday. He relies on wishful thinking to help allay the pain of loss, holding onto hope for a parental reunion much longer than does the adolescent who is quicker to accept the finality of this unwelcome family change. Thus parents who put in a joint presence at special family celebrations and holiday events to recreate family closeness for the child only feed the childs fantasy and delay his adjustment. The dependent childs short term reaction to divorce can be an anxious one. So much is different, new, unpredictable, and unknown that life becomes filled with scary questions? What is going to happen to next? Who will take care of me? If my parents can lose for each other, can they lose love for me? With one parent moving out, what if I lose the other too? Answering such worry questions with wo rst fears, the childs response can be regressive. (Pickhardt) states, the child wants to feel more connected in a family situation where a major disconnection has occurred. Regression to earlier dependency can partly be an effort to elicit parental concern, bringing them close when divorce has pulled each of them further away the resident parent now busier and more preoccupied, the absent parent simply less available because of being less around. The more independent-minded adolescent tends to deal more aggressively to divorce, often reacting in a mad, rebellious way, more resolved to disregard family discipline and take care of himself since parents have failed to keep commitments to family that were originally made. Where the child may have tried to get parents back, the adolescent may try to get back at parents. Where the child felt grief, the adolescence has a grievance. If they cant be trusted to stay together and take care of the family, then I need to start relying more on myself. If they can break their marriage and put the mselves first, then I can put myself first too. If they dont mind hurting me, then I can I dont mind hurting them. Now the adolescent can act aggressively to take control of his life by behaving even more distantly and defiantly, more determined to live his life his way, more dedicated to his self-interest than before. He feels increasingly autonomous in a family situation that feels disconnected. He now feels more impelled and entitled to act on his own. He influenced that for the parent who divorces with a child, the priority is establishing a sense of family order and predictability. This means observing the three Rs required to restore a childs trust in security, familiarity, and dependency Routines, Rituals, and Reassurance. As study after study has shown divorce does influence children. Doesnt matter if it is a boy or girl divorce has a massive change on their life. For many children, divorce leaves scars that never heal. Life that follows is significantly changed from how life was before. So much is different, new, unpredictable, and unknown for not just the children but the whole family. How much does a parents divorce really effect their children? It truly can take a toll on the kids, but it can also affect the entire family. Works Cited National Center for Health Statistics. Centers for Disease Control and Prevention, Centers for Disease Control and Prevention, 17 Mar. 2017, www.cdc.gov/nchs/fastats/marriage-divorce.htm. Morin, Amy, and Steven Gans. The Psychological Effects of Divorce on Children. Verywell Family, Verywellfamily, www.verywellfamily.com/psychological-effects-of-divorce-on-kids-4140170. Harrington, John, and Cheyenne Buckingham. Broken Hearts: A Rundown of the Divorce Capital of Every State. USA Today, Gannett Satellite Information Network, 2 Feb. 2018, www.usatoday.com/story/money/economy/2018/02/02/broken-hearts-rundown-divorce-capital-every-state/1078283001/. American Psychological Association, American Psychological Association, www.apa.org/topics/divorce/. Effects of Divorce on Childrens Health. Effects of Divorce on Childrens Health [Marripedia], marripedia.org/effects_of_divorce_on_children_s_health. Pickhardt, Carl E. The Impact of Divorce on Young Children and Adolescents. Psychology Today, Sussex Publishers, 19 Dec. 2011, www.psychologytoday.com/us/blog/surviving-your-childs-adolescence/201112/the-impact-divorce-young-children-and-adolescents. Jost, K. and Robinson, M. (2018). Children and Divorce. [online] CQ Researcher by CQ Press. Available at: https://library.cqpress.com/cqresearcher/document.php?id=cqresrre1991060700type=hitlistnum=1 [Accessed 13 Nov. 2018]. Kliewer, W., Fearnow, M. D., Miller, P. A. (1996). Coping socialization in middle childhood: Tests of maternal and paternal influences. Child Development, 67(5), 2339-2357. https://dx.doi.org/10.2307/1131627 Masci, David. Children and Divorce. CQ Researcher by CQ Press, library.cqpress.com/cqresearcher/document.php?id=cqresrre2001011900type=hitlistnum=0. Stephens, Karen. Parents Are Powerful Role Models for Children. www.ParentingExchange.com, 2007.

The Hunger Games By Max Weber - 1437 Words

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I Am A Student In The Master Of Divinity Program At...

I am a student in the Master of Divinity program at Garrett-Evangelical Theological Seminary, anticipating graduation in May 2017. The Master of Divinity program has broadened my whole understanding of the Church and God, and has established a desire to further explore theology in the academy. Therefore, I am applying to the Master of Theological Studies program, with a desire to focus on Theology and Ethics. I am seeking admission into this program to further my growth as a scholar and researcher of theology in the context of western media. Studying theology and social ethics at Garett-Evangelical has broadened my understanding of ethics relative to theology. The most important thing that I have learned is how to think critically while†¦show more content†¦This further developed my interest in critically reflecting on these films while engaging theology and moral ethics. Since I come from a traditional culture myself where the films are reflective of the Pakistani culture, depicting values, norms, religious and societal rituals, use of poetry, friendship, love, and community, I became more interested in learning what makes the American film industry so influential even to the people in the seminary and how it spoke to the theologians. Since languages are different throughout the world, but not the literature, this made me dig deeper into learning how ethics shapes the literature of the films that are opaquely theological in nature. Perceptions about values can be different based on the differences of cultures, and the styles of writing can be different, but I am interested in learning why and how the cinema at large impacts its viewers differently, asking the question â€Å"Does film reflect a convenient archetype for novel community situations – a sort of â€Å"default ethical behavior† that the community follows but adapts as necessary for new situations?† Having spent four years at Garrett- Evangelical, I have been introduced to different kinds of theologies. My theological education has broadened my whole concept about understanding theology. It has resonated with me at different times forShow MoreRelatedCultural Reflection : Cultural Continued Reflection1073 Words   |  5 Pagesmean? I was born and raised in Pakistan and moved to the U.S. in August 2013, for my Master of Divinity program at Garrett-Evangelical Theological Seminary, IL. I was born into a Pakistani (Punjabi) Christian Anglican family, which makes me a Gentile. This is because my ancestral background is not connected, directly or indirectly with Abraham or King David, but with the Aryans who once inhabited the sub-continent as cannibals and heathen-worshippers of the Sun, Moon, sea and music. I have beenRead MoreI Am A ----Year Old Christian Woman. I Come From Pakistan1256 Words   |  6 PagesI am a ----year old Christian woman. I come from Pakistan and am currently working on my Master of Divinity program at Garrett- Evangelical Theological Seminary, Evanston, IL. I am looking forward to graduating on May 12, 2017. I am a United Methodist and a certified Candidate for Ordained Ministry. I am on the elder track. Last year, I also became a certified lay minister and was recommended for Local Pastor’s License; however, I did not receive any appointment. Serving God and God’s people hadRead MoreThe Most Formative Experience Of My Christian Life1828 Words   |  8 PagesConference of the UMC    i.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  The Most Formative Experience of My Christian Life: I grew up in Pakistan with a diverse culture around me. Before moving to the U.S., the city I grew up in was a blend of people who lived there because of their jobs, education and business purposes. I learned that poverty, marginalization and violence, neither had a religion nor selects people of a specific faith to attack them. This made me devote myself to the church and its programs to serve all children of

Is Abortion The Right Choice - 2356 Words

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Belief Systems Personality Effects Free Essays

There are many ways in which belief systems affect the personality of individuals, however, the most overarching and poignant way is the ability or lack of ability of a person to gravitate towards hope and figuring out personal solutions. Unfortunately, there are many people who believe that they are not able to make positive changes in their lives, and these individuals become stuck in cycles of maladaptive thoughts and behaviors (Metcalf O’Hanlon, 2008). They believe that there are no solutions or actions which can be taken personally to help remedy and positively alter their own lives. We will write a custom essay sample on Belief Systems: Personality Effects or any similar topic only for you Order Now In these types of situations, people can become prone to destructive thoughts and behaviors which impede their own life functioning and sometimes also the lives of people in their environment. Destructive behaviors which are linked to negative thinking are physical, observable signs that people’s belief systems are faithless and contributing to their own demise. Some people may demonstrate a signal to others that they possess the lack of believing in the value of self control when they decide to discipline their children through spanking, an antisocial and abusive behavior. Another example of damaging thought is the belief that men do not need to support women through childbirth and raising children, contributing to male narcissism and also to woman and child deprivation of care and finances (Sklare, 2004). It makes sense for people who are stuck in cycles of harm and abuse to help to pull themselves out and to heal their harmful personalities by positively changing the ways in which they think and act. There are many ways in which people’s negative thinking in regard to formulating their belief systems disrupts the relationship of self with self and the relationship of self with others. It is important for people to find hope in their everyday thoughts and actions which lends to the bettering of their own lives and the lives of people in their environment. Life and development is only positive, its opposite being death and destruction, and focusing on the paths to workable solutions is the best way for people’s beliefs to contribute to their surviving and thriving, to their characters, even under difficult circumstances. References Metcalf, L. O’Hanlon, B. (2008). Counseling Toward Solutions. John Wiley and Sons. Sklare, G. (2004). Brief Counseling That Works. Corwin Pre How to cite Belief Systems: Personality Effects, Papers

Inference Wlement of Thought

Question: Discuss about the Inference Element of Thought. Answer: Discussion Element of thought involves consideration of a point of view in thinking. It involves purpose . Elements of thought entails information gathering, interpretation, inference on the issue of concern and concepts are highlighted. When we think, we utilise assumptions of the thought and its overall implications and consequences of reason. An inference involves how we reach conclusion and how to interpret information. In standards of thinking, there is need for the ability to assess the reasoning capacity. In order to have a clear thinking, we need to have measures and benchmarks for quality. It can be done through criteria based approach of using accuracy, precision, relevance, depth, breadth, logicalness and significance issue. However improved reasoning is achieved when goals are clear using standards of intellectuality and usage of information in thinking, however information is of high quality when accurate information used. Contentious issue in these two is that, how will you make an inferences or conclusion if you have a low reasoning capacity? The quality of that conclusion will be affected and thus compromise the quality of the decision. However in inference, one needs to seek purpose and gather the right information which when combine good reason, good conclusion is reached. Hence the contentious issue here is the standard of thinking that needs to be used in order to make good inference which is of high quality. My point of view is that the level of thinking quality affects considerably the inferences made or choices made. One must have god reason in order to make a good conclusion. References Williams, E. and Standish, P., 2016. Sound not light: Levinas and the elements of thought. Educational Philosophy and Theory, 48(4), pp.360-373. Richard Paul's, 2017 "Miniature Guide to Critical Thinking" Retrieved at 0708 hrs 13-04-2017, https://www.public.wsu.edu/~hughesc/Paul-elements-of-thought.html. Gary Meegan 2017 . The elements of thought. Viewed 13 April 2017, https://theelementsofthought.org/the-author/ . Anonymous, 2017. Elements of Reasoning. Viewed on 13/04/2017., https://www.lee.edu/sacs/files/2012/04/Hale_Elements_of_Reasoning.pdf

Capital Aasset Pricing Model and Techniques

Question: Discuss about the Capital Aasset Pricing Model and Techniques. Answer: Introduction: Before understanding the relationship of sensitivity analysis to capital budgeting it is very important to understand the concept of capital budgeting and sensitivity analysis. Capital budgeting is a procedure which helps the businesses to take decisions with regards investing into a project or not. Basically it helps to determine the investment that an entity has to make in a particular project and the expected revenue and income that the project will generate in future for the entity. Sensitivity analysis is nothing but a method which helps to analyse the same in detail so that a more sound decision can be taken with regards the same. Sensitivity analysis helps the organization to gauge into various scenarios and circumstances with regards the project in case the estimates and circumstances do not fall into place and become undependable. It is basically changing the assumptions and applying a hit and trial method to the calculations basis the changed assumptions so as to find out the expected result out of such a change. Thus in this manner the decision makers can give a second thought before investing in their money (Koening, 2015). They can come to know what losses they may have to suffer by investing in any project basis this assumptions and estimate. The said analysis highlights upon the modification in the input that would affect the net result from any project. Change is constant and hence variations will happen to the base suppositions and it is this alteration which the sensitivity analysis details about. It helps to find out the most favourable levels of inputs in a project. Therefore this is a statistical analysis of the data basis changes in the numbers such as quantity and prices. Thus sensitivity analysis details about finding the extent to which changes can be made to the input factors so that the ultimate result remains unchanged. Thus sensitivity analysis helps in capital budgeting because of the following reasons: Helps in taking a more sound decision and thus testing the results in a more detailed manner. Helps to detect errors and thus try to mitigate the same Helps to develop the model more accurately by detecting errors and trying to find solution to mitigate those errors. Develop a will knitted linkage between the input and the output variables. Therefore it is understood that the main purpose of this analysis is not assess risk but to make certain the receptiveness of the NPVs to the various variables which help to calculate it. The same is because NPV is calculated basis assumptions which is why the scenario in which capital budgeting decisions are taken is uncertain (Zhamoida, Matsiuk, 2011). It is the most acceptable method of analysis of various changes one by one in the variables and the assumptions being made which would in turn have a bearing on the cash flow and the return from a project. Concept of Scenario Analysis in relation to Capital Budgeting Techniques As the name suggest, scenario analysis helps in taking capital budgeting decisions and techniques by taking into account unconventional possible results. The analysis is conducted in a fashion which would help to find out the net result due to an action or activity under various other set of factors such as how an NPV of a project would differ if the inflation shoots up or down. However it is equally important to know that scenario should be such which can exist in actual sense and not fictional in nature. Generally three kinds of scenarios are considered good, base and worst for computing the NPVs of a project (Boundless.com., 2012). It is an analytical tool unlike the sensitivity analysis which uses statistical tool. After the NPVs are computed then a probability of occurrence of such a scenario is allotted to ease situation and then the expected NPV and standard deviation of the NPV is calculated. This is known as coefficient variation and a CV of 1 is considered to be ideal. However on comparing the two CV basis the scenario then the one with a lower CV is considered to be more preferable than the one with a higher CV. Thus it can be said that scenario analysis although is also a behavioural approach similar to sensitivity analysis yet the former defines the capital budgeting techniques more broadly. It takes into consideration various variables together such as cash inflows, outflows and cost associated with capital invested. For example an entity should take into consideration both high and low inflationary factors and compute the implication of the same on the projects Net present value. Each situation will affect all the above mentioned variables at the same time thus resulting into differing levels of NPV. Thus giving the decision makers a more detailed method of analysing the capital budgeting techniques used by organizations before investing into a project. Furthermore scenario analysis used in various capital budgeting techniques helps to give a summary about the risk associated with the various assets wherein the assets with higher risk will have more volatile values and vice versa. Scenario analysis entails how much economic sense does it make in investing into any project for an organization. Further by doing the analysis taking into consideration the worst scenario as well, one can take proactive measures to try to reduce the risks associated with the worst scenario (Kengatharan, 2016). Thus on a summarizing note one can say that scenario analysis helps in detailing investments during situations which are even unfavourable in nature. It helps to find solutions during worst cases also thus trying to consider investment in various projects minutely. Definition of the Capital Asset Pricing Model: The said model is built on the Markowitzs mean-variance-efficiency model where the patrons who are reluctant towards taking risk on investments are concerned only about the returns and the profits they expect from their investment and the difference of returns and risk. Thus the said model defines the linkage between the return and risk associated with an asset. It enables determination of the appropriate required rate of return of an asset but only in theory. It helps to take calls about addition of assets or more investment securities to an already diversified portfolio (Fama French, 2004). The graphical representation of the formulae of CAPM is known as the security market line. Definition of Capital Market line: The Capital Market Line is plotted on the capital asset pricing model which helps to illustrate the rate of return that could be expected to receive from a well built portfolio but depending upon the level of risk associated with the portfolio of the entire market and the risk free rate of return. It is a digression from the point of interception found on the efficient frontier stretched towards the return expected from an investment which is equivalent to the risk free rate of return. There lie a number of differences between the two mentioned terms. Similarities also exist but the same is very few in comparison to the differences. The similarities between a CAPM and CML would be discussed in the form of a relationship that exists between the Capital market line and the Security market line which is a graphical representation of the CAPM. The SML is considered to be an integral part of the CML in a Capital Asset Pricing Model specifically when the risk attached to a security or an investment is computed. Their relationship depicts the similarity as one shows the risk associated with individual securities whereas the other considers these individual securities and forms the entire portfolio. Thus performance of a single security will impact the performance of the portfolio as well. Therefore we can say that both these help to depict the association of risk with various investment securities as well as portfolio as a whole. Thus the similarity is such that both the CML and SML hypothesize a straight line association between risk and return. The CML and SML also talks about systematic risks and portfolios which ar e risk free although the SML also includes the inefficient portfolios as well. Just as their exists a relationship between CAPM and CML due to similarities between the two, similarly the two concepts differ amongst each other for various reasons illustrated below. The CML is a line that depicts the rate of return which is dependent upon the rate of return which is free from adequate risk and the level of risk for various investment groups. However CAPM or the SML line used to represent the CAPM formulae is a graphical presentation of the risk and return in a market at a particular point of time. The measurement of risk factors is another difference between the two concepts. The CML uses standard deviation to gauge risk whereas for CAPM the risk factors are firmed via the beta coefficients. Therefore the former is a measurement basis which risk is calculated in totality whereas the later tells about the contribution of the security or the investment towards the risk on the entire portfolio. CML portrays only portfolios which are competent and proficient whereas the Security Market Line used to depict the CAPM, portrays both competent and non-competent portfolios. While calculating the return, the Y Axis depicts the return anticipated from a portfolio in case of a CML and the return that the individual investments gives are shown by the Y axis in case of the SML. The X axis of CML depicts the standard deviation whereas the X axis of the SML depicts the Beta of the shares and individual investments. The two axis is well depicted in the graphs below of both CML and SML wherein the horizontal axis of the SML depicts the methodical risk and that of CML is overall risk. The CML establishes the portfolio of the entire market and such assets which are free from any risks, SML establishes all the factors associated with investments made (Campbell, 2013). References: Boundless.com., (2012), Scenario Analysis, Available at https://www.boundless.com/finance/textbooks/boundless-finance-textbook/the-role-of-risk-in-capital-budgeting-12/scenario-and-simulation-assessments-99/scenario-analysis-427-7232/ (Accessed 19th January 2017) Campbell, B., (2013), CAL vs. CML vs. SML., Available at https://luckyhy.weebly.com/uploads/3/9/3/2/39328787/cal_vs._cml_vs.pdf (Accessed 19th January 2017) Fama, E.F., French, K.R., (2004), The Capital Asset Pricing Model: Theory and Evidence, Journal of Economic Perspectives, vol.18, no. 3, pp. 49-51 Kengatharan, L., (2016), Capital Budgeting Theory and Practice: A Review and Agenda for Future Research, Applied Economics and Finance, Vol. 3, no.2, pp.15-38 Koening, E., (2015), Sensitivity Analysis for Capital Budgeting, Available at https://smallbusiness.chron.com/sensitivity-analysis-capital-budgeting-10153.html (Accessed 19th January 2017) Zhamoida, O.A., Matsiuk, M.S., (2011), Sensitivity Analysis in Capital Budgeting, Economic Herald of the Donbas, vol.4, no.26, pp.132-136