Fluctuations in domestic takeover activity over time is generally considered to be related to:
A)investment optimism and regulation.
B)managerial expertise.
C)changes in dividend policies.
D)waves in the degree of market efficiency over time.

Question

Quizplus · Accepted Answer

Fluctuations in domestic takeover activity over time are related to investment optimism and regulation. When there is optimism in the economy, there is an increase in takeover activity, and when there is pessimism, there is a decrease. Similarly, regulatory changes can affect takeover activity. For example, if the government enacts stricter regulations on mergers and acquisitions, it can discourage takeover activity.

Fluctuations in Domestic Takeover Activity Over Time Is Generally Considered