jerrell8917 jerrell8917

23-05-2023
Business

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The basic form of the efficient markets hypothesis (suggested by Nobel Laureate Eugene Fama) is that all available information is factored into the current price and hence the current price provides no information of the direction of the future price. An implication of the efficient markets hypothesis is that rt is serially uncorrelated. Does rt violate this efficient markets hypothesis? Why?

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