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grandymaker [24]
2 years ago
12

If the efficient market hypothesis is true, price changes are independent and biased. Group of answer choices

Business
1 answer:
Yuri [45]2 years ago
5 0

Answer:

Price changes are independent but not biased in efficient market hypothesis.

Explanation:

In simple words, the efficient-market hypothesis asserts that asset prices represent all relevant knowledge.  Because market rates must only respond to fresh knowledge it is difficult to continuously "beat the market" on something like a risk-adjusted approach.

Thus the given statement is partially true.

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