The Efficient Markets Hypothesis Says That Beating the Market Consistently

question 43

Multiple Choice

The efficient markets hypothesis says that beating the market consistently is

• A)impossible.Many studies find that beating the market is,at best,extremely difficult.
• B)impossible.Many studies find that beating the market is relatively easy.
• C)relatively easy.Many studies find that beating the market is,at best,extremely difficult.
• D)relatively easy.Many studies find that beating the market is relatively easy.

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Definitions:

Rolex Watch

A luxury brand of watches known for their quality, prestige, and accuracy, manufactured by a Swiss company.

Firm Offer

A firm offer is a binding proposal in contract law that cannot be withdrawn for a certain period of time by the offering party.

Breach of Contract

The failure to perform any term of a contract, written or oral, without a legitimate legal excuse.

Merchant

An individual or business involved in the wholesale or retail sale of goods.