Speculators Are a Necessary Component of Well-Functioning Futures Markets

question 8

True/False

Speculators are a necessary component of well-functioning futures markets.

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Definitions:

Rarefaction

A decrease in density and pressure in a medium, such as air or fluid, often related to sound waves.

Displacement

In psychology, it's a defense mechanism where an individual shifts emotional reactions from the original source of distress to a safer target.

Sound Quality

An attribute of auditory perception that allows the differentiation of sounds that have the same pitch and loudness.

Timbre

The quality of a sound that distinguishes it from other sounds of the same pitch and volume.