Choose the best answer  The post-earnings drift is inconsistent with I The weak form efficient market hypothesis II The semi-strong form efficient market hypothesis III The strong form efficient market hypothesis a) I, II, and III b) I and II c) None of I, II, and III d) I

Definition Definition Degree to which financial markets incorporate all available information into the prices of assets. In a more efficient market, the prices reflect the available information more than that in a weak efficient market. It is difficult for investors to outperform the market in a strong efficient market. This is because all the available information is already discounted in the asset's price. However, in a weak-form efficiency, the market does not reflect all information in the asset's price. As a result, it becomes easier to generate better returns in a weak form or an inefficient market.