How does a primary financial market differ from a secondary financial market?
What will be an ideal response?
Primary financial markets are places or channels where financial assets are sold for the first time. Secondary financial markets are places or channels where financial assets are resold.
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Real estate suitable for condominium development is also suitable for single-family home development. Therefore, a rise in the price of condominiums relative to single-family homes tends to
A) increase the opportunity cost of building new single-family homes. B) reduce the demand for condominiums. C) increase the demand for condominiums. D) do none of the above.
Point out the relevance of the Bayes' theorem
The government budget deficit is
a. the difference between government purchases and government revenues from bonds and taxes b. caused by a lack of business sector investment c. created when the government expenditures exceed net taxes d. caused by leakages in the economy e. is created by government injections
The regulation of the prices charged by insurance companies is known as
A. fiscal policy. B. social regulation. C. the market share test. D. economic regulation.