Efficient Markets

question 101

Multiple Choice

Efficient markets:

• A) maximize total surplus.
• B) can occur without a central planner.
• C) occur when a perfectly competitive, well-functioning market is in equilibrium.
• D) All of these are correct.

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Definitions:

Nonquantitative Signals

Indicators or information used in analysis or decision-making that are not expressed in numerical or statistical form.

External Forces

These are the factors outside of an organization that can affect its performance and strategy, including economic, social, political, and technological influences.

Relinquish Priorities

The act of letting go or giving up previously held priorities in favor of new ones or in response to changing circumstances.

Cross-functional Goals

Objectives that require collaboration and coordination across different departments or functions within an organization to achieve.