Author Question: A market that establishes correct prices for the securities that firms sell and allocates funds to ... (Read 89 times)

theo · **on:** Jul 10, 2018

A market that establishes correct prices for the securities that firms sell and allocates funds to their most productive uses is called a(n) ________.

A) future market
B) forex market
C) efficient market
D) weak-form market

Question 2

Which of the following is true of a securities exchange?

A) It serves as an intermediary by channeling the savings of individuals, businesses, and governments into loans or investments.
B) It borrows funds directly from the financial institutions.
C) It is an association of banks who meet to buy and sell stocks and bonds.
D) It provides a marketplace in which firms can raise funds through the sale of new securities and purchasers can resell securities.