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What do we mean by “e?cient markets”? Explain the idea behind testing for market e?ciency

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Finance

What do we mean by “e?cient markets”? Explain the idea behindtesting for market e?ciency

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Efficient markets states that the asset prices fully reflect all the available information When the markets are efficient it is impossible to beat the market No trader can earn above normal profits The 3 forms of market efficiency is weak form semi    See Answer
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What do we mean by “e?cient markets”? Explain the idea behindtesting for market e?ciency

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