In an Event Study the Objective Is to

question 35

Multiple Choice

In an event study the objective is to

• A) determine whether it is possible to predict stock prices.
• B) determine how fast stock prices adjust to news.
• C) examine the cross-sectional distributions of returns.
• D) conduct a time series analysis of returns.
• E) determine normal P/E ratios.

---

Definitions:

Family Members

Individuals who are related by blood, marriage, or adoption, forming a unit or living together and having close relations.

Macro Policy

Policies designed to influence or regulate large-scale societal systems, such as economic or social policies at a national or international level.

Homelessness

The condition of lacking stable, permanent, and adequate housing.

Health Care

A system involving the diagnosis, treatment, and prevention of disease, illness, injury, and other physical and mental impairments in humans.