Security markets provide liquidity

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1. The "semi-strong" form of the efficient market hypothesis states that

past price data is unrelated to future prices.

prices reflect all public information.

all information both public and private is immediately reflected in stock prices.

none of these options are correct.

2. Security markets provide liquidity

by allowing corporations to raise funds by buying new issues.

by creating a market in which owners may easily turn an investment into cash through a purchase.

by allowing corporations to raise funds by selling new issues and by creating a market in which owners may easily turn an investment into cash through its sale.

none of these options are correct.

Reference no: EM131354763

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