Which One of the Following Statements Is True

question 15

Multiple Choice

Which one of the following statements is true?

• A)Market crashes tend to be accompanied by low market volume.
• B)The Asian market crash was followed by a quick recovery.
• C)The market crash of 1929 and the crash of 1987 are very similar in both the percentage decline in market value and in the ensuing market recovery.
• D)Market crashes tend to follow market bubbles.
• E)Market bubbles and crashes prove that financial markets are inefficient.

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Definitions:

Language Properties

Fundamental characteristics of language, including syntax, semantics, phonetics, and pragmatics, that enable communication.

Inductive Reasoning

A method of reasoning in which specific observations lead to broader generalizations or theories.

Deductive Reasoning

A logical process where a conclusion follows necessarily from the given premises; if the premises are true, the conclusion must also be true.

Problem Solving

The mental process of finding an appropriate way to attain a goal when the goal is not readily available.