Informational Efficiency Tests on the Romanian Stock Market: A Review of the Literature

Victor Dragota, Dragos Stefan Oprea

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Abstract:

The Efficient Market Hypothesis is still a 'hot' topic in financial economics. This paper provides a review of the empirical results obtained in the investigation of the Romanian stock market’s informational efficiency. Tests on the predictability of returns suggest that the Romanian stock market has a low level of efficiency. Furthermore, the impact of new information is more intense before and after its release. Moreover, some papers put into question the coincidence between asset prices and their intrinsic values.

 

 

 

 

 
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