If the Market Is Semistrong Form Efficient, Then Which One

question 55

Multiple Choice

If the market is semistrong form efficient, then which one of the following statements is true?

• A)Neither technical nor fundamental analysis leads to abnormal profits.
• B)Technical analysts have the ability to earn abnormal profits but fundamental analysts cannot.
• C)Fundamental analysts can earn abnormal profits but technical analysts cannot.
• D)Both technical and fundamental analysts earn abnormal profits based on their research.
• E)No answer can be determined as the form of market efficiency is unrelated to abnormal returns.

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Definitions:

Assembly-Line Workers

Employees who work on a manufacturing process where the product is moved from workstation to workstation, with each worker responsible for a specific task.

State Of Mind

An individual's mental and emotional condition at a particular time, influencing perception, behavior, and decision-making.

Current Circumstances

The existing situation, conditions, or context at the present moment.

Human Condition

Refers to the range of key experiences, emotions, and challenges that define human existence and encompass aspects such as birth, growth, emotionality, aspiration, conflict, and mortality.