A random walk occurs when: a. Stock price changes are random but predictable. b. Stock prices respond
Question:
A “random walk” occurs when:
a. Stock price changes are random but predictable.
b. Stock prices respond slowly to both new and old information.
c. Future price changes are uncorrelated with past price changes.
d. Past information is useful in predicting future prices.
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Related Book For
ISE Investments
ISBN: 9781260571158
12th International Edition
Authors: Zvi Bodie, Alex Kane, Alan Marcus
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