Question: 5. In a world where noise traders are important, when are arbitrageurs least likely to be effective in fighting mis-pricings? A) When they have a

5. In a world where noise traders are important, when are

5. In a world where noise traders are important, when are arbitrageurs least likely to be effective in fighting mis-pricings? A) When they have a longer investment horizon B) When there is more persistence in sentiment shocks C) When there are more arbitrageurs around D) When there is more predictable earnings news E) When there is less volative sentiment shocks

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