Submartingale in Economics

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A submartingale is a kind of stochastic process; one in which the expected value of next period's value, as projected on the basis of the current period's information, is greater than or equal to the current period's value.

This kind of process could be assumed for securities prices.

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Your Citation
Econterms. "Submartingale in Economics." ThoughtCo, Aug. 28, 2020, Econterms. (2020, August 28). Submartingale in Economics. Retrieved from Econterms. "Submartingale in Economics." ThoughtCo. (accessed January 24, 2021).