In Finance, an Efficient Market Is One in Which

question 24

Multiple Choice

In finance, an efficient market is one in which:

• A) prices are assumed to be correct.
• B) prices adjust quickly and accurately to new information.
• C) prices are the best allocators of capital in the macro economy.
• D) all of the above

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Definitions:

Unwind

The process of relaxing or de-stressing, often by engaging in leisurely activities or taking a break from routine tasks and responsibilities.

Global Village

A term that describes the world as being interconnected through technology, making distances shorter and communication instant.

Coined

The creation of a new word, phrase, or concept, or giving a new meaning to an existing word or phrase.

Technological Revolution

A significant period of technological change and innovation that transforms industries, societies, and economies.