Emerging Economies Stock Markets Show Inefficiencies, Impacting Investor Confidence.
The article tests if stock markets in certain emerging economies are efficient by analyzing their price behavior. Traditional tests may not work well, so new nonlinear tests were used. Results show that some markets like Bulgarian, Greek, and Hungarian are efficient, while others like Russian, Romanian, and Polish are not. The study suggests that combining cross-sectional data and nonlinear methods can provide better insights into market efficiency.