The Efficient Markets Hypothesis States

question 70

Multiple Choice

The Efficient Markets Hypothesis states

• A)markets tend to evolve to low transactions costs and speedy execution of orders.
• B)current asset prices (e.g. exchange rates) fully reflect all the available and relevant information.
• C)current exchange rates cannot be explained by such fundamental forces as money supplies, inflation rates and so forth.
• D)none of the above

---

Definitions:

Depressed Mood

A state of persistent sadness, a key symptom of depression that can affect a person's thoughts, behavior, feelings, and sense of well-being.

Neurotransmitter

Chemical substances in the nervous system that transmit signals across a synapse from one neuron to another.

Antagonist

A substance that blocks or inhibits the effects of a neurotransmitter or hormone.

Opiate

A group of drugs derived from opium, used for pain relief, but also associated with addiction and dependence.