Multiple Choice
An expectation may fail to be rational if
A) relevant information was not available at the time the forecast is made.
B) relevant information is available but ignored at the time the forecast is made.
C) information changes after the forecast is made.
D) information was available to insiders only.
Correct Answer:
Verified
Correct Answer:
Verified
Q2: The efficient markets hypothesis suggests that investors<br>A)should
Q3: A change in perceived risk of a
Q4: In the Gordon growth model,a decrease in
Q5: If expectations are formed adaptively,then people<br>A)use more
Q6: Stock market crashes lead us to believe
Q8: If additional information is not used when
Q9: People have a strong incentive to form
Q10: You have observed that the forecasts of
Q11: Using the Gordon growth formula,if D1 is
Q12: If during the past decade the average