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35.  Discuss the significance of the joint-hypothesis problem.

36.  What is arbitrage?  If there appears to be a difference between what a stock price is and what is should be, how might arbitrage apply?

37.  Describe PEAD.

40.  If an average firm (relative to an industry), has a materially lower P/E ratio than does the industry as a whole, how could an investor potentially exploit the situation? 

 
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