Other dot-com firms experienced skyrocketing market prices

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During the 1990s, securities related to technology and other dot-com firms experienced skyrocketing market prices. But, the market crashed around the year 2000. We can argue that this example: A: does not support the efficient markets hypothesis because people paid too much attention to historical events. B: supports the efficient markets hypothesis in that the high demand for, and perceived good chances of, high returns from these “dot-com” securities were incorporated into their prices. C: both supports and refutes the efficient markets hypothesis because when sentiments changed, the prices quickly fell. But, bubbles such as this one could be the result of herding. D: neither supports nor refutes the efficient markets hypothesis because when sentiments changed, the prices quickly fell. But, bubbles such as this one could be the result of herding. **NOT A OR B; ALREADY TRIED & WRONG**

Reference no: EM131092328

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