ECO 372 Week 2 participation Principles of Macroeconomics, Ch. 14: The Basic Tools of Finance

Consider the following as you read:

1. Consider what benefit people get from the market for insurance. What two problems impede the insurance market from working perfectly?
2. Consider what factors a stock analyst should think about in determining the value of a share of stock.
3. Consider how to describe the efficient markets hypothesis with evidence.
4. Consider how to explain the view of those economists who are skeptical of the efficient markets hypothesis.