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A researcher obtained the following results for a stock price: P t = 0,999P t-1 + t with R 2 =0,99 and t is white

  • A researcher obtained the following results for a stock price:

Pt = 0,999Pt-1 + t with R2=0,99 and t is white noise. According to the above estimation, is the market for the specific stock efficient?

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