____ Execute Transactions Desired by Investors and Trade Stock Options

question 31

Multiple Choice

____ execute transactions desired by investors and trade stock options for their own account.

• A) Floor brokers
• B) Discount brokers
• C) Market makers
• D) none of the above

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Definitions:

Barriers To Entry

Obstacles that prevent new competitors from easily entering an industry or area of business, such as high start-up costs or complex regulations.

Economic Profits

Profits exceeding the opportunity costs of the inputs used in the production process, an indicator of efficiency and effectiveness in resource utilization.

Mean Reversion

Suggests that performance eventually moves back toward the mean or average.

Demand And Supply Shocks

Unexpected events that cause sudden and significant changes in the demand or supply of goods and services in the economy.