Question: 1. Explain why the Weak form is the most efficient of the three forms of market efficiency. 2. Explain why it is easier to diversify

1. Explain why the Weak form is the most efficient of the three forms of market efficiency.

2. Explain why it is easier to diversify in an efficient market, utilizing skills such as Asset Allocation and Correlation?

3. How could the Mortgage crisis of the 2000's been avoided if the market was truly efficient? Highlight the irrational behavior (each type mentioned in the book) which caused the crisis. Read the "Trillion Dollar Bank Shakedown," and "The True Origins of This Financial Crisis"

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