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kolitchko kolitchko
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6 years ago
Which of the following statements is TRUE of rational expectations?
A) Rational expectations forecasts are always correct.
B) For a trader with rational expectations, the expectation of an asset's price equals the optimal price forecast.
C) If traders have rational expectations, any announcement by a company will have an effect on its stock price, even if the market was already aware of the facts being announced.
D) If a trader really has rational expectations, he or she will always earn a greater than normal return on his or her financial portfolio.
Textbook 
Money, Banking, and the Financial System

Money, Banking, and the Financial System


Edition: 3rd
Authors:
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vehmeinvehmein
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6 years ago
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kolitchko Author
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6 years ago
this is exactly what I needed
lubennick
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Yesterday
Good timing, thanks!
Fleury
wrote...

2 hours ago
Thanks
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