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Problem 5: Efficient Market Hypothesis and Behavioral Finance (4 points) (a) True or false: according to the efficient markets hypothesis, you cannot predict future price
Problem 5: Efficient Market Hypothesis and Behavioral Finance (4 points) (a) True or false: according to the efficient markets hypothesis, you cannot predict future price movements, and therefore all assets have the same expected return? Explain (b) True or false: if the efficient markets hypothesis is true, the CAPM must be true? Explain. Problem 5: Efficient Market Hypothesis and Behavioral Finance (4 points) (a) True or false: according to the efficient markets hypothesis, you cannot predict future price movements, and therefore all assets have the same expected return? Explain (b) True or false: if the efficient markets hypothesis is true, the CAPM must be true? Explain
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