The Random Walk Hypothesis Suggests That

question 3

Multiple Choice

The random walk hypothesis suggests that

• A)the best predictor of the future exchange rate is the current exchange rate.
• B)the best predictor of the future exchange rate is the current forward rate.
• C)both a and b are consistent with the efficient market hypothesis.
• D)None of the above

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Definitions:

Need-Satisfaction Presentation

A sales approach where the presentation is tailored to match the specific needs and desires of the customer, emphasizing how the product or service meets those requirements.

Problem-Solution Presentation

A method of sales presentation that focuses on identifying a potential customer's problem and then presenting a product or service as a solution.

Formal Tone

A style of communication that is polite, professional, and follows established conventions, often used in business, academic, and official interactions.