What does it mean to "cover a short"?
What will be an ideal response?
If the price of an asset in which an investor has a short position rises, the investor will incur losses by having to buy back the asset at a higher price than what it was sold for.
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Wal-Mart was one of the most successful firms of the 1970s and 1980s. Much of Wal-Mart's success can be credited to its expansion strategy: they rushed to open the first discount store in small towns that could only support one discount store. In the language of game theory:
A) Wal-Mart was a dominant firm. B) Wal-Mart made empty threats. C) Wal-Mart employed a maximin strategy. D) Wal-Mart employed a preemptive strategy.
In the simple linear regression model, the regression slope
A) indicates by how many percent Y increases, given a one percent increase in X. B) when multiplied with the explanatory variable will give you the predicted Y. C) indicates by how many units Y increases, given a one unit increase in X. D) represents the elasticity of Y on X.
A country that has a lower opportunity cost of producing a good:
a. has a comparative advantage. b. can produce the good using fewer resources than another country. c. requires fewer labor hours to produce the good. d. all of these.
A stable monetary policy is essential for the control of ______, efficient allocation of _____, and achievement of ______ ______
Fill in the blank(s) with the appropriate word(s).