According to Theory, Studying Historical Prices in Order to Identify

question 22

True/False

According to theory, studying historical prices in order to identify mispriced stocks will not work in markets that are weak-form efficient.

---

Definitions:

Ladder

A set of steps or rungs between two vertical bars, used for climbing up or down.

Shaping

A method of behavior modification that involves gradually training an organism to perform a specific behavior by reinforcing successive approximations of the target behavior.

Reinforce

To strengthen a behavior by providing a consequence that increases the likelihood of the behavior being repeated.

Lever

A simple machine consisting of a rigid bar that pivots on a fixed point, used to transfer force and change the direction of force.