The efficient market hypothesis suggests that:
A. Congress is unable to pass effective laws.
B. the Fed will be unable to pop an asset price bubble.
C. asset price bubbles won't occur.
D. asset price bubbles are a normal part of an economy.
Answer: C
You might also like to view...
Farm income has fallen in part because demand for farm products is price inelastic and income inelastic
a. True b. False
Suppose a U.S. importer agrees to pay a Japanese firm 55,000 yen for a shipment of goods. If the agreement is made when the exchange rate is $1 = ¥100, what is the change in the dollar value of the goods if the exchange rate changes to $1 = ¥110, on the payment-due date?
a. -$50 b. $550,000 c. -$550,000 d. $50 e. -$55,000
Most consumers in stores use marginal analysis to make their buying decisions
a. True b. False Indicate whether the statement is true or false
Sales maximization by a firm most often serves the interests of the firm's
a. stockholders. b. creditors. c. managers. d. unskilled laborers.