Author Question: In volatile markets, speculators would be expected to provide some stability because: a. they will ... (Read 77 times)

lb_gilbert · **on:** Jul 1, 2018

In volatile markets, speculators would be expected to provide some stability because:
a. they will be required to do so by the government.
b. they will use current price moves to predict future moves.
c. they will buy when price is below equilibrium and sell when it is above equilibrium.
d. they will buy when price is above equilibrium and sell when it is below equilibrium.

Question 2

Any current outlay that is expected to yield a flow of benefits beyond one year in the future is:
a. a capital gain
b. a wealth maximizing factor
c. a capital expenditure
d. a cost of capital
e. a dividend reinvestment