It is difficult to test the Kondratieff wave theory because ________.
A) it applies to only Russian stocks
B) its main proponent found contrary research results
C) only two independent data points are generated each century
D) the stock market is too volatile to generate smooth waves

Question

Quizplus · Accepted Answer

The Kondratieff wave theory is based on long-term cycles that occur every 50-60 years, which means that only two independent data points are generated each century. This makes it difficult to test the theory empirically. The other options are incorrect as the theory is not limited to Russian stocks, its main proponent did not find contrary research results, and stock market volatility does not necessarily invalidate the theory.

It Is Difficult to Test the Kondratieff Wave Theory Because