Which of the Following Does Not Apply to Secondary Markets

question 59

Multiple Choice

Which of the following does not apply to secondary markets?

• A) Transactions are important to the efficient allocation of resources in our economy.
• B) New resources are provided when shares of stock are sold by the corporation to the initial owners.
• C) Transactions help to establish market prices for additional shares that may be issued in the future.
• D) Many investors might be unwilling to provide resources to corporations if there is no available mechanism for the future sale of their stocks and bonds to others.

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Definitions:

Passenger Pigeon

A species of pigeon that was once abundant in North America but became extinct in the early 20th century due to overhunting and habitat destruction.

Specialized Niche

A specific or focused role played by an organism or entity within its environment, often referring to a narrow adaptation to a particular set of conditions.

Low Population Density

Refers to areas with few people living in them relative to their size, often measured as the number of individuals per unit area.

Reproductive Rate

The average number of offspring produced by an organism or population, influencing its ability to sustain or grow its numbers over time.