Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/244434 
Year of Publication: 
2007
Series/Report no.: 
Working Paper No. 12/2007
Publisher: 
Örebro University School of Business, Örebro
Abstract: 
This paper tests the hypothesis of market efficiency for the fixed odds betting market of Swedish trotting head-to-head matches. The hypothesis is carried out by a Wald test within a logistic regression model. Data support rejection of semi-strong efficiency at the 5 percent level of significance, while the weak form efficiency cannot be rejected. Moreover, evaluation of the simple strategy to bet on those horses where, conditional on the estimated model, the expected profit is positive results in a profit of 7.8 percent per bet.
Subjects: 
EMH
betting
trotting
market
efficiency
logit
Wald
JEL: 
G14
Document Type: 
Working Paper

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