Question: it is sometimes argued that the efficient market hypothesis cannot plausibly explain many large changes in share prices. however show, using the gordon growth model

it is sometimes argued that the efficient market hypothesis cannot plausibly explain many large changes in share prices. however show, using the gordon growth model of share price determination that small changes in the discount rate or expected growth rate of dividends, under certain circumstances, generate large changes in share prices. is this a plausible explanation of large changes in share prices?

the key thing about this question i want to know about this how small changes in the expected growth affect individual share prices and whether this is plausible and secondly how small changes changes in the discount rate or expected rate of return can cause large changes in all stock prices and whether this is plausible

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