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Assertive Behavior​

question 14

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Assertive behavior​


Definitions:

Limits to Arbitrage

The constraints that prevent traders from exploiting price discrepancies in financial markets, thus allowing inefficiencies to persist longer than they would otherwise.

Trading Volume

It denotes the total number of shares or contracts traded for a specific security or market during a given period.

Bubble

A situation where observed prices soar far higher than fundamentals and rational analysis would suggest.

Crash

A situation where market prices collapse significantly and suddenly.

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