The Securities Litigation Reform Act of 1995

question 293

Multiple Choice

The Securities Litigation Reform Act of 1995:

• A) makes companies strictly liable for misstatements
• B) makes it safer for firms to make careful predictions about profits and success
• C) imposes greater liability on companies that make predictions about future performance
• D) changes the liability standard in securities fraud cases to negligence
• E) does none of these things

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Definitions:

Roommates

Individuals who share a living space such as a room, apartment, or house, but are not related or romantically involved.

Micro-Level Perspective

A social science perspective that focuses on people’s social interaction patterns in specific settings.

Social Interactions

The process by which individuals act toward or respond to other people and is a fundamental aspect of human behavior that shapes society and social relationships.

Specific Settings

Particular or distinct environments or contexts where certain activities or conditions can occur.