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Reaction |
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ReactionA decline in prices following an advance. Opposite of rally.Reaction Similar MatchesReaction curveReaction curveThe graph of a reaction function. Overreaction hypothesisOverreaction hypothesisThe supposition that investors overreact to unanticipated news, resulting in exaggerated movements in stock prices followed by corrections. Reaction functionReaction functionThe function specifying the choice of a strategic variable by one economic agent as a function of the choice of another agent. Most familiar specifying output choices of firms in a Cournot duopoly. |
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