A mutual fund
a. is a financial market where small firms mutually agree to sell stocks and bonds to raise funds.
b. is funds set aside by local governments to lend to small firms who want to invest in projects that are mutually beneficial to the firm and community.
c. sells stocks and bonds on behalf of small and less known firms who would otherwise have to pay high interest to obtain credit.
d. is an institution that sells shares to the public and uses the proceeds to buy a selection of various types of stocks, bonds, or both stocks and bonds.
d
You might also like to view...
Suppose there are two economies that are identical in every way with the following exception. Economy A has an unemployment compensation system while economy B does NOT have an unemployment compensation system
Now suppose both economies experience the same drop in planned investment. Which of the following is correct? A) Real GDP will fall more in economy A than in economy B. B) Real GDP will fall more in economy B than in economy A. C) Real GDP will fall the same in both economies. D) The effect on the relative size of the reduction in real GDP in the two economies is ambiguous.
A country has $60 million of saving and domestic investment of $40 million. Net exports are
a. $20 million. b. -$20 million. c. $100 million. d. -$100 million.
Stagflation implies that
A) a tradeoff between inflation and unemployment may not always exist. B) policymakers can choose to have less unemployment if they are willing to accept a higher rate of inflation. C) the short-run Phillips curve is stable. D) the short-run Phillips curve is vertical.
Suppose that the table shown shows the demand and supply schedules for pork bellies. Which of the following statements is true?Price($/lb.)Quantity demanded (lbs.)Quantity Supplied (lbs.)$0.1030,0005,000$0.2025,00010,000$0.5020,00020,000$0.7515,00030,000$0.955,00040,000
A. There would be a shortage of pork bellies if the price were $0.25 per pound. B. There would be a shortage of pork bellies if the price were $0.50 per pound. C. There would be a surplus of pork bellies if the price were $0.25 per pound. D. There would be a surplus of pork bellies if the price were $0.50 per pound.