Which of the following statements is false?
A) Market prices for assets are influenced by buyers who can derive the most value from them.
B) Asset markets ensure that the price of an asset is the highest price an asset can command.
C) Buyers with the most information about an asset are likely to increase its value.
D) Market participants, bidding against each other, establish the market price for assets.
E) Buyers who are uncertain about the future returns from an asset require a higher return than better informed investors.
ANSWER
B
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