Security Exchanges Provide a Valuable Function in That They

question 43

Multiple Choice

Security exchanges provide a valuable function in that they

• A) create interest in stocks.
• B) increase the marketability of securities.
• C) provide a legal way to gamble.
• D) supply money to deficit spending units.
• E) both a and d

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Definitions:

Average Product

The output per unit of input, such as the number of goods produced per worker, used to measure productivity efficiency.

Marginal Product

The additional output that is produced by employing one more unit of a factor of production, holding other factors constant.

Total Product

The overall quantity of output that a firm produces, typically over a specific period, given a certain level of input.

Marginal Product

The additional output that is produced by using one more unit of a particular input, assuming all other inputs remain constant.