On most days, you notice that stock prices ﬂuctuate wildly. It is obvious to you that markets are
ineﬃcient during this period.

Name: On most days, you notice that stock prices ﬂuctuate wildly. It is obvious to you that markets are ineﬃcient during this period.
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Question

Quizplus · Accepted Answer

Fluctuating stock prices do not necessarily indicate market inefficiency; they can result from new information, investor sentiment, or other factors that are consistent with an efficient market.

On Most Days, You Notice That Stock Prices ﬂUctuate Wildly