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Discuss the Significance of an Active Secondary Market to Both

question 59

Essay

Discuss the significance of an active secondary market to both issuers of securities and to investors.


Definitions:

Kinetic Energy

The energy possessed by an object due to its motion, which is defined by mass and velocity.

Chemical Energy

Energy associated with the interaction of atoms in a molecule.

Mechanical Energy

A type of kinetic energy associated with the position, or motion (such as walking or running), of an object.

Entropy

A measure of disorder or randomness in a system, often associated with the second law of thermodynamics regarding energy dispersal.

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