Which of the Following Is NOT a Way in Which

question 89

Multiple Choice

Which of the following is NOT a way in which prices communicate information in the markets for bonds, stocks, foreign exchange, and financial instruments?

• A)Prices of financial assets represent expectations of future value.
• B)Prices of financial assets reflects the preferences of policymakers.
• C)Long-term bond yields provide information about expected future short-term yields.
• D)Differences in interest rates in various countries reveal information about expected changes in exchange rates.

---

Definitions:

Events

In probability and statistics, an event is a set of outcomes of an experiment or situation to which a probability is assigned.

Disjoint

Sets that have no elements in common; non-overlapping.

At Least

A mathematical expression indicating the minimum quantity or amount required or achieved, used in probabilities and statistics.

Probability

Numerical estimation, ranging from 0 to 1, of the likelihood that a certain event will transpire.