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Which of the following statements about market efficiency is false? It is a violation of weak form efficiency, if firms that manufacture luxury products systematically
Which of the following statements about market efficiency is false?
It is a violation of weak form efficiency, if firms that manufacture luxury products systematically earn higher returns than firm that manufacture everyday staples. | ||
It violates weak form efficiency if positive January returns systematically predict positive returns for the remaining 11 month of the year. | ||
Even in an efficient market you will need to diversify. | ||
If insider trading is prohibited (and the prohibition is enforced), the market will not be strong form efficient. |
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