The main difference between European and American options is:

A. American option holders have more options than European option holders.
B. European options cannot be resold.
C. European option holders can exercise the option prior to expiration.
D. holders of European options have more options than holders of American options.


Answer: A

Economics

You might also like to view...

The market for smartwatches has begun to grow, due in part to the success of the Apple Watch

Following the successful launch of the Apple Watch in 2015, companies such as Samsung, Sony, and LG have all developed products to compete with the Apple Watch. The smartwatches introduced to compete with the Apple Watch would be considered A) complements to the Apple Watch. B) substitutes for the Apple Watch. C) normal goods compared to the Apple Watch. D) inferior goods compared to the Apple Watch.

Economics

The key interest rate in the Eurocurrency market is the

A) London interbank offer rate. B) Eurobank spread rate. C) Prime rate. D) C.D. rate.

Economics

The text points out that since the 1970s, which of the following regions of the United States became a "population magnet?"

a. Midwest b. Northeast c. South d. West e. North

Economics

Which of the following groups believes that the economy can achieve full employment without inflation through tax reductions, lower resource prices, and deregulation?

A. Classical school B. Keynesian school C. Supply-side school D. Rational expectations school

Economics