Answer:
1. Stock markets reflect all available information about the value of stocks AND
2. Changes in stock prices are impossible to predict.
Explanation:
The characteristics that are consistent with the efficient markets hypothesis are that
1. Stock markets reflect all available information about the value of stocks
<em>By definition efficient markets are those whose asset prices reflect all available information.</em>
2. Changes in stock prices are impossible to predict.
<em>The efficient market hypothesis has been described as a backbreaker for forecasters. In its crudest form it effectively says that the returns from speculative assets, are </em><em><u>unforecastable</u></em><em>.</em>
Answer:
a. Even though I was willing to pay up to $40 for a jersey sweater, I bought a jersey sweater for only $31.
Consumer Surplus;
= 40 - 31
= $9
When the amount that a consumer is willing to pay for something is more than the amount they actually pay, the difference is the Consumer surplus.
b. I sold a used laptop for $137, even though I was willing to go as low as $130 in order to sell it.
Producer Surplus
= 137 - 130
= $7
When the amount that a producer is willing to sell something for is less than the amount they actually sell it for, the difference is the Producer surplus.
c. I was willing to go as low as $130 in order to sell it A local store was having a sale on watches, so I bought a watch for my brother. Neither.
Ben paid the value of the item + sales tax
Sales tax = 6.25% of worth of item.
Sales tax = (6.25/100) * 249.99 = $15.62.
Hence Ben paid $249.99 + $15.62 = $265.61
To the nearest cent he paid $265.60
Answer:
It is beneficial because it makes money from the trade.
Answer:
The $20 ticket to the match.
Explanation:
The sunk cost would be the $20 ticket to the match.
