Inefficient markets are most likely to be found:

Question

Quizplus · Accepted Answer

Inefficient markets are most likely to be found in small and developing markets that have risk factors not found in most other markets. These risk factors could include political instability, lack of transparency, and unreliable legal systems. Third world countries with lax regulations may also have inefficient markets, but this is not always the case. Markets that are mature and in decline with no usual risk factors are more likely to be efficient. Similarly, investors' short-term goals do not necessarily result in market inefficiencies.

Inefficient Markets Are Most Likely to Be Found