Most securities traded in the United States are
a. secondhand securities bought by individuals
b. secondhand securities bought by institutional investors
c. new securities bought by institutional investors
d. new securities bought by banks and insurance companies
e. new securities bought by individuals
B
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During the Great Depression, real GDP decreased by roughly ____ percent and unemployment rose to roughly ____ percent
a. 5; 10 b. 20; 10 c. 30;25 d. 50;25
When does an externality occur?
a. when one person's production or consumption of a good affects another person b. when a producers long-run average costs fall c. when a consumer's marginal utility from consuming a good increases d. when international trade leads to improvement in a country's economic welfare
Explain the difference between active and passive policymaking.
What will be an ideal response?
If a typical firm in a perfectly competitive industry is earning profits, then
A) all firms will continue to earn profits. B) new firms will enter in the long run causing market supply to decrease, market price to rise, and profits to increase. C) new firms will enter in the long run causing market supply to increase, market price to fall, and profits to decrease. D) the number of firms in the industry will remain constant in the long run.