Which of the following is (are) a serious challenge(s) to the efficient markets hypothesis?

Question

Quizplus · Accepted Answer

Both options A and B are serious challenges to the efficient markets hypothesis, as they suggest that stock prices are not perfectly reflective of all available information and are instead influenced by irrational behavior or factors beyond fundamental news. Option C, however, is not necessarily a challenge to the hypothesis, as it simply suggests that price movements are random and unpredictable, rather than being influenced by information. Thus, the correct answer is D, as both A and B are significant hurdles to the efficient markets model.

Which of the Following Is (Are) a Serious Challenge(s) to the Efficient