Solved

The Rational Expectations Theory Suggests That to Be a Consistently

Question 83

Multiple Choice

The rational expectations theory suggests that to be a consistently correct interest-rate forecaster you must know what market participants expect to happen and:


A) Which way interest rates have gone in the recent past
B) What new information will arrive in the market before that information actually arrives
C) How much value the marketplace currently places on new information
D) What reasonably could happen to market interest rates given their performance to date
E) None of the above are correct

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions