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Questions and Answers
How do stock exchanges often function as markets?
How do stock exchanges often function as markets?
- Continuous auction markets with open outcry or electronic trading platforms (correct)
- Fixed price markets with no variation
- Barter markets with no monetary transactions
- Negotiated markets with private transactions only
What types of securities can be bought and sold on a stock exchange?
What types of securities can be bought and sold on a stock exchange?
- Real estate, commodities, and cryptocurrencies
- Antiques, precious metals, and collectibles
- Shares of stock, bonds, and other financial instruments (correct)
- Government securities, insurance policies, and mutual funds
What is a requirement for a security to be traded on a particular stock exchange?
What is a requirement for a security to be traded on a particular stock exchange?
- The security must be physically present at the exchange
- The security must be listed on that exchange (correct)
- The security must be endorsed by the government
- The security must be approved by a specific broker
What has taken much of the trading activity away from traditional stock exchanges in recent years?
What has taken much of the trading activity away from traditional stock exchanges in recent years?
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Who is trade on a stock exchange restricted to?
Who is trade on a stock exchange restricted to?
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