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A Preemptive Right Is a Right for Existing Owners to Buy

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A preemptive right is a right for existing owners to buy sufficient shares to preserve their ownership share.


Definitions:

Money Supply

The total of all monetary assets within an economy at a specific instant, comprising cash, coins, and balances in checking and savings.

Long-Run Aggregate-Supply

is the total supply of goods and services that a country's economy can produce over time when all inputs are used to their full potential.

Aggregate Demand

It's the total demand for goods and services in an economy at a given overall price level and in a given time period.

Aggregate Supply

The total supply of goods and services that firms in an economy are willing and able to sell at a given price level in a given time period.

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