The Semistrong-Form of the Efficient Market Hypothesis Implies That ________

question 28

Multiple Choice

The semistrong-form of the efficient market hypothesis implies that ________ generate abnormal returns and ________ generate abnormal returns.

• A) technical analysis cannot; fundamental analysis can
• B) technical analysis can; fundamental analysis can
• C) technical analysis can; fundamental analysis cannot
• D) technical analysis cannot; fundamental analysis cannot

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Definitions:

Heredity

The transmission of genetic characteristics from parents to offspring through their genes.

Temperament

An individual's inherent personality traits, including their disposition and their typical reaction to different situations.

Maturation

The progression through which a person grows to reach a state of complete maturity or optimal operation.

Grief

An emotional response to loss, particularly to the loss of someone or something to which a bond was formed. It involves a range of feelings from deep sadness to anger.