Keyword Analysis & Research: market rationality definition

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Which is the best definition of a rational market?

The Rational Market Assuming the stock market participants consist of rational investors, it’s fair to assume the market should be rational or efficient too. Market efficiency is defined as the true value of a certain stock reflected in its market price at any point in time.

What kind of rationality is used in economic theory?

Economic rationality, conceptions of rationality used in economic theory. Although there is no single notion of rationality appealed to by all economic theories, there is a core conception that forms the basis of much economic theorizing.

Is it fair to assume the stock market is rational?

Assuming the stock market participants consist of rational investors, it’s fair to assume the market should be rational or efficient too. Market efficiency is defined as the true value of a certain stock reflected in its market price at any point in time.

What is the medical definition of rationality?

Medical Definition of rationality. 1 : the quality or state of being rational. 2 : the quality or state of being agreeable to reason. Keep scrolling for more. Comments on rationality. What made you want to look up rationality? Please tell us where you read or heard it (including the quote, if possible).


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