The __________ Is an Index That Measures Stock Price Movements

question 57

Multiple Choice

The __________ is an index that measures stock price movements of 30 of the largest companies traded on the NYSE.

• A)S&P 500
• B)Dow Jones Industrial Average (DJIA or the Dow)
• C)Russell 2000
• D)GNMA 30

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Definitions:

Price Ceiling

A government-imposed limit on the price charged for a product, aimed at preventing prices from rising above a certain level.

Equilibrium Wage

The earnings rate at which the workforce offered balances the workforce demanded.

Binding

In economic terms, refers to a price floor or ceiling that is enforced and has an effect on the market, preventing it from reaching equilibrium.

Price Ceiling

A legally established maximum price for a good or service, aimed at preventing prices from rising too high.