Identify and Briefly Explain Four of Malkiel's Five Theorems

question 66

Essay

Identify and briefly explain four of Malkiel's five theorems.

---

Definitions:

Liking Relationships

Interpersonal connections characterized by positive feelings toward each other and enjoyment of each other's company.

Group Polarisation

Describes the tendency of a group to make decisions that are more extreme than the initial inclination of its members, often leading to riskier or more conservative positions.

Prejudice

Preconceived opinion or bias against an individual or group without adequate knowledge, reason, or experience, often based on stereotypes.

Stereotype

A widely held but fixed and oversimplified image or idea of a particular type of person or thing.