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If a Share of Stock Is Correctly Valued Today, a Bubble

Question 13

Multiple Choice

If a share of stock is correctly valued today, a bubble in the stock market is when you purchase a stock because


A) you expect future dividends to rise.
B) you expect interest rates to fall.
C) you expect other people will be willing to pay more for the stock in the future.
D) you expect interest rates to rise.

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