Believers in efficient markets tend to explain away market anomalies as
I. random occurrences that create an illusion of causality.
II. errors resulting from inaccurate measures of risk.
III. the result of illegal price manipulation by corporate insiders.
IV. the effect of normal human emotions such as fear and greed.
A) I and II only
B) I, II and III only
C) I and III only
D) I, II, III and IV
Answer: A
Business
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