The Financial System Performs the Role of Communicating Information by

question 73

Multiple Choice

The financial system performs the role of communicating information by

• A)constantly increasing the liquidity of most assets.
• B)constantly reducing the riskiness of most assets.
• C)incorporating all available information into the prices of financial assets.
• D)providing to investors for a nominal charge all government reports available about a particular company.

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Definitions:

Electric Charges

Electric charges are the physical properties of particles that cause them to attract or repel each other, based on the principle that like charges repel and opposite charges attract.

Nerves

Bundles of fibers that transmit electrical impulses between the brain, spinal cord, and other parts of the body, facilitating communication and responses.

Electromyography (EMG)

The insertion of needles into selected skeletal muscles for the purpose of recording nerve conduction time in relation to muscle contraction.

Electrical Activity

The movement or flow of electrical charges, often referring to physiological processes in the body.