The random walk theory says that
A. successive stock prices are independent of each other.
B. successive stock prices increase more than they decrease.
C. successive stock prices are dependent on the weighted average of the previous week's prices.
D. stock prices follow a trend for varying periods of time.
Answer: A
You might also like to view...
In response to the financial crisis in 2008, the Fed created which of the following policy tools?
A) quantitative easing B) the required reserve ratio C) the discount rate D) the federal funds rate E) open market operations
In the above figure, which point represents an economy which is at the peak part of a business cycle?
A) point F B) point G C) point I D) point K
Ceteris paribus, if a 20 percent increase in the price of shoes leads to a 10 percent increase in the quantity supplied of shoes, then the price elasticity of supply is equal to _____
a. 2 b. 20 c. 10 d. 0.5 e. 0.2
In the HO model, a "box diagram" describes the distribution of:
a. output between the two producing sectors in a country. b. output between the two countries of the model. c. labor and capital between the two producing sectors of a country. d. labor between the two countries of the model.