According to the efficient market hypothesis
a. changes in the prices of stocks are predictable. Evidence shows that managed funds typically do better than indexed funds.
b. changes in the prices of stocks are predictable. Evidence shows that indexed funds typically do better than managed funds.
c. changes in the prices of stocks are not predictable. Evidence shows that managed funds typically do better than indexed funds.
d. changes in the prices of stocks are not predictable. Evidence shows that indexed funds typically do better than managed funds.
d
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Net investment is
A) the same as gross investment. B) gross investment minus depreciation. C) the same as depreciation. D) the same as wealth. E) gross investment plus depreciation.
A sudden increase in the market demand in a competitive industry leads to
a. Losses in the short-run and average profits in the long-run b. Above average profits in the short-run and average profits in the long-run c. New firms being attracted to the industry d. Both B&C