If Stock Exchanges Did Not Exist

question 102

Multiple Choice

If stock exchanges did not exist,

• A)the risk to the investor of buying stocks would be much greater.
• B)the economy's resources could be more efficiently allocated among firms.
• C)there would be no organized way for firms to issue stock.
• D)investment banks would no longer play a role in handling stocks.

---

Definitions:

Mathematical Formulas

Prescribed sets of mathematical symbols and operations that represent relationships or solve problems.

Inferential Statistics

The branch of statistics that allows one to make predictions or inferences about a population based on a sample of data from that population.

Descriptive Statistics

Statistical techniques used to describe and summarize the basic features of data, offering simple summaries about the sample and the measures.

Statistical Hypotheses

Formal statements made about the expected relationship between variables within the context of statistical analysis.