The Price of a Stock Will Rise If

question 87

Multiple Choice

The price of a stock will rise if

• A)the managers of a stock exchange decide the price should be higher.
• B)the demand for the stock rises.
• C)the supply of the stock rises.
• D)None of the above are correct.

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Definitions:

APC

Average Propensity to Consume, the ratio of total consumption to total disposable income, indicating how much income is spent on goods and services.

APS

Average Propensity to Save, a macroeconomic term that refers to the proportion of total income which is saved by households in an economy.

APC

Average Propensity to Consume, which is a measure of the percentage of income that is spent on goods and services rather than being saved.

Income

Funds regularly amassed from labor or capital invested.