Which of the following statements in your view describe the inefficiency of a market? Which test demonstrates this?

Tax-free US municipal bonds with a lower rate of return for the investor than government bonds which are taxed.

Managers make higher-than-average profits by buying and selling shares in the company they work for.

There is some correlation between the market rate of return during a given quarter and a company's expected change in profits the following quarter.

Market watchers have observed that shares that have shot up in the recent past will go up again in the future.

The market value of a company will tend to go up before the announcement of a takeover bid.

Earnings on shares in a company whose profits have recently risen sharply will be high in the coming months.

On average, earnings on shares that carry a risk are higher than earnings on shares that are relatively risk-free.

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