Economists Disagree as to Whether

question 2

Multiple Choice

Economists disagree as to whether

• A)the stock price of a company should reflect the company's expected profitability.
• B)the basic tools of finance reflect valid ideas.
• C)stock prices reflect rational estimates of a company's true worth.
• D)there is any relationship between stock market fluctuations and fluctuations in the economy more broadly.

---

Definitions:

Skinner

B.F. Skinner, an American psychologist best known for his work in behaviorism and the development of the theory of operant conditioning.

Reinforcement

The process of encouraging or establishing a pattern of behavior by offering rewards or consequences.

Environmental Events

Occurrences or changes in the physical world surrounding an organism that can influence its behavior and survival.

Secondary Reinforcement

A type of reinforcement that has acquired value through being paired with primary reinforcers or through association with other reinforcing stimuli.