Excessive volatility refers to the fact that

A) stock returns display mean reversion.
B) stock prices can be slow to react to new information.
C) stock price tend to rise in the month of January.
D) stock prices fluctuate more than is justified by dividend fluctuations.

D

Economics

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A union worker with a COLA in his contract does not have to worry about the value of his check eroding due to inflation. Why?

a. the amount is indexed to inflation b. savers are helped by inflation c. when inflation is greater than the fund's investment earnings, there will be positive gains d. the rule of 72 says that as more people pay into the system, the interest earnings will be large enough to award bonuses to all those who draw SS

Economics

"Monopolists do not worry about efficient production and cost saving since they can just pass along any increase in costs to their consumers." Is this statement true? Explain your answer

Economics