Inherent Powers Derive from the Fact That the United States

question 4

Multiple Choice

Inherent powers derive from the fact that the United States is

• A) a democratic republic.
• B) a confederation formed by state governments.
• C) a sovereign power among nations.
• D) a federal system.
• E) explicitly entitled by the Constitution to annex new territory.

---

Definitions:

Efficient Market

A financial market theory suggesting that asset prices fully reflect all available information, making it impossible to consistently achieve higher than average returns.

Insider Trading Laws

Regulations that prohibit the trading of a company's stocks or other securities by individuals with access to non-public, material information about the company.

Market Efficiency

The degree to which stock prices and other securities prices fully reflect all available information and are accurate reflections of the true value of investments.

Capital Markets

Markets that deal in the buying and selling of long-term debt or equity-backed securities to help in capital acquisition.