Validity Refers To

question 55

Multiple Choice

Validity refers to:

• A) a composite measure of several variables used to measure a single concept.
• B) the degree to which measures yield consistent results.
• C) the ability of a scale to measure what was intended to be measured.
• D) the ability to accurately measure variability in responses.

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Definitions:

Bond Market

The financial market where participants can issue new debt, known as the primary market, or buy and sell debt securities, known as the secondary market.

Over-The-Counter Market

A decentralized market, without a central physical location, where participants trade stocks, commodities, currencies, or other instruments directly between two parties without a broker's intermediation.

Bond Dealers

Entities that trade in bond securities, acting as intermediaries between buyers and sellers in the bond market.

Default Risk Premiums

Additional returns that investors demand from a security issuer to compensate for the risk of default.