With regard to market efficiency,identify the INCORRECT statement.
A)Information is the central issue of the efficient markets concept.
B)The most stringent form of market efficiency is the strong form.
C)The efficient market concept does not require a perfect adjustment in price following new information.
D)Tests of the usefulness of price data are semi-strong form tests.

Question

Quizplus · Accepted Answer

Tests of the usefulness of price data are actually weak form tests, not semi-strong form tests. Semi-strong form tests involve examining how quickly and accurately stock prices adjust to publicly available new information.

With Regard to Market Efficiency,identify the INCORRECT Statement