TESTING THE EFFICIENCY MARKET HYPOTHESIS FOR THE ROMANIAN STOCK MARKET
Journal Title: Annales Universitatis Apulensis series Oeconomica - Year 2009, Vol 11, Issue 1
Abstract
Efficient Market Hypothesis has dominated the field of research on capital market theory. It states that asset prices are rationally connected to economic realities and always incorporate all the information available to the market. In this way, securities markets are seen as efficient in reflecting information about individual stocks or about the stock market as a whole. A large number of theoretical, as well as empirical papers around the world have had as objective testing this hypothesis. Beside reviewing the most important part of literature in this respect, the paper has as aim testing the Efficient Market Hypothesis on Bucharest Stock Exchange. The tested hypothesis is carried on time series of stock index BET (daily observations), for the period 2000-2009. The econometrical results assert that the weak form of the efficiency market hypothesis is accomplished.
Authors and Affiliations
Bogdan Dima, Laura Miloş
Keywords
Related Articles
- EP ID EP150101
- DOI -
- Views 94
- Downloads 0
PATRIMONIAL RESOURCES’ MANAGEMENT AND EFFECTS ON THE ECONOMIC VALUE ADDED
The core elements of one firm’s existence as the patrimonial situation and performance, are related in a great measure by the business strategy adopted, the economic environment in which it is operating and the way of r...
THE ROMANIAN AGRICULTURE – BETWEEN MYTH AND REALITY
This paper analyses the performance of the Romanian agriculture as against the EU agriculture from a historic perspective in order to reveal the gaps and to demythologize the assertion saying that „Romania has been Europ...
CULTURE - MAJOR DETERMINANT OF THE EUROPEAN CONSUMER BEHAVIOR
Consumers put in the new circumstances of the European Union area is in the process of adapting behavior in market relations, the conditions in which enjoys growing prosperity, the increased degree of civilization. How b...
FRAUD AND ERROR. AUDITORS' RESPONSIBILITY LEVELS
Are auditors responsible for detecting fraud in the companies they inspect? Most of the public thinks they are. Auditors often demur. The auditors' duties for the prevention, detection and reporting of fraud, other illeg...
FOREIGN DIRECT INVESTMENT IN EMERGING AND DEVELOPED ECONOMIES
In the context of globalization, the issue of foreign direct investments and their influence on the development of the emerging economies, continues to be a topic of interest for many economic theories. The need, the imp...