The Internet Is Making Global Price Differences More Obvious, Forcing

question 42

True/False

The Internet is making global price differences more obvious, forcing companies toward more standardized international pricing.

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Definitions:

Random Walk

A statistical theory suggesting that stock market prices evolve according to a random path, making future movements unpredictable based on past trends.

Stock Market

An aggregate for buyers and sellers of stocks, which represent ownership claims on businesses; includes stock exchanges, over-the-counter markets, and electronic trading platforms.

Efficient Markets Hypothesis

The theory that stock prices fully reflect all available information, making it impossible to consistently achieve higher returns.

Stock Price

The current market price at which a share of a company's stock can be bought or sold.