A Technological Advance Can Lead to an Increase in Stock

question 15

Multiple Choice

A technological advance can lead to an increase in stock prices primarily through

• A) lower interest rates.
• B) higher expected earnings.
• C) higher levels of lending.
• D) none of the above.

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Definitions:

Farmer

An individual engaged in agriculture, raising living organisms for food or raw materials.

Comparative Advantage

The ability of a party to produce a particular good or service at a lower marginal and opportunity cost than another.

Honduras

A country in Central America, characterized by its diverse landscapes, cultures, and history, but also known for its challenges with poverty and violence.

Nicaragua

A country located in Central America, known for its significant geographical diversity, ranging from lakes and volcanoes to rainforests and beaches.