According to the Efficient Markets Hypothesis, Stock Prices

question 185

Multiple Choice

According to the efficient markets hypothesis, stock prices:

• A) reflect all publicly available information about the stock market.
• B) reflect all private company information that is known only to company insiders.
• C) contain both public and private information that is helpful for some investors to outperform other investors.
• D) contain no useful information.

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Definitions:

Geert Hofstede

A Dutch social psychologist known for his work on the comparison of cultures across nations, especially for developing the cultural dimensions theory.

Culture

The shared beliefs, customs, practices, and social behavior of a particular nation, group, or society.

Americans

Refers to the people of the United States of America or their characteristics, culture, or attributes.

Handshake

A greeting or parting tradition involving the grasping and shaking of each other's hands, often used to convey trust, respect, or agreement.