The "Random Walk" Theory

question 47

Multiple Choice

The "random walk" theory

• A)has been widely used by stock brokers to advise clients about stock purchases.
• B)implies that stock prices can easily be predicted by stock analysts.
• C)implies that rumors, news, and other "signals" have an effect on stock prices.
• D)implies that a stock's past performance is an excellent predictor of its future performance.

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Definitions:

Nativism

A political policy or belief system favoring native inhabitants over immigrants, often manifesting in anti-immigrant sentiment and policies.

Americans

Citizens or nationals of the United States of America, often characterized by a diverse cultural heritage and history.

Transnational Identities

Complex personal and social identities formed by individuals who transcend traditional national boundaries and cultural affiliations, often due to migration, globalization, or digital connectivity.

Global Migrations

Movements of peoples across countries and continents for the purpose of settling, working, or fleeing conflict, which significantly shape economies and societies.