What Does Weak Form Efficiency Imply

question 49

Multiple Choice

What does weak form efficiency imply?

• A)Portfolio diversification is ineffective as all prices are interrelated.
• B)Past price movement is unrelated to the movement of future prices.
• C)Abnormal returns will disappear within a trading day.
• D)Price patterns that existed in the past will reappear in the future.
• E)Investors cannot earn abnormal profits based on any publicly available information.

Understand the relationship between arousal levels and aggression.

Recognize factors influencing bystander intervention in emergency situations.

Discuss the effectiveness of fear in persuasive messages.

Describe the concept of groupthink.

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Definitions:

Conservation

In cognitive psychology, the principle that properties of substances, such as weight and mass, remain the same (are conserved) when superficial characteristics such as their shapes or arrangement are changed.

Empathy

The capacity to understand and share the feelings of another person, fostering emotional connection and social bonding.

Fine Motor Skills

The coordination of small muscles, in movements—usually involving the synchronization of hands and fingers—with the eyes.

Preoperational Thought

A stage in Jean Piaget's theory of cognitive development where children aged 2-7 years begin to engage in symbolic play and struggle with logic and taking the perspective of others.