According to Random-Walk Theory,what Are the Odds That a Stock

question 67

Multiple Choice

According to random-walk theory,what are the odds that a stock will increase in price after having increased on 2 consecutive days of trading?

• A) 0.0%
• B) 12.5%
• C) 50.0%
• D) 100.0%

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Definitions:

Trade Liberalization

The process of reducing tariffs, quotas, and other barriers to allow for the free flow of goods between countries.

Trade Agreements

Formal arrangements between countries to regulate tariffs, quotas, and other trade restrictions to facilitate and encourage international trade.

Trade Barriers

Government-imposed regulations such as tariffs, quotas, and embargoes that restrict the free flow of goods and services between countries.