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a) With regard to share markets, contrast adaptive expectations and rational expectations by outlining the features of each.(3 marks) Adaptive Expectations: Rational Expectations: b)In what
a) With regard to share markets, contrast adaptive expectations and rational expectations by outlining the features of each.(3 marks)
Adaptive Expectations:
Rational Expectations:
b)In what circumstances might the adaptive expectations model provide a reasonable forecast of price movements going forward?(1 mark)
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