Research on the Weak-Form Efficient Market Suggests That

question 31

Multiple Choice

Research on the weak-form efficient market suggests that:

• A) past trends cannot be used to predict the future
• B) technical analysis has limited value
• C) stock prices follow a random walk
• D) all of the above

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Definitions:

Sociohistorical Context

The combination of social, cultural, and historical factors that influence and shape events or phenomena at a given time.

Fundamental Disputes

Essential disagreements or debates over basic principles within a field of study or an area of professional practice.

Psychology

The scientific study of the human mind and its functions, especially those affecting behavior in a given context.

Functionalism

A theory in sociology and anthropology that interprets and describes society as a structure with interrelated parts designed to meet the biological and social needs of the individuals in that society.