Answer:
The answer is 'Buy a Stock Index Future'
Explanation:
To take best advantage of this situation, Mr Smith should go long(buy) on this stock.
Stock Index Future js a method of derivates. Futures, like forward contract is a forward commitment which obligates the buyer to purchase an asset or the seller to sell an asset and have a predetermined future date and price. Future is used to hedge against worse future situations.
Answer:
<u>Germany</u> and <u>Japan</u>
Explanation:
Financial intermediaries refer to the institutions which serve as a link between spenders and savers. Examples of financial intermediaries are banks, investment banks, pension funds, etc.
Securities markets refer to the markets which deal with the issuance of equity, debt and derivatives securities. Such issue of securities facilitates the raising of capital by businesses.
Direct finance usually takes place in capital markets dealing in securities with maturity period of more than an year, such as equity and bonds.
Indirect finance takes place through financial intermediaries such as banks, pension funds, etc. Such intermediaries remove the operation of middlemen between lenders and borrowers.
Germany and Japan have utilized their nation's bank credit based financial system.
Answer:
b. hedonic prices.
Explanation:
Hedonic prices -
It refers to the method by which the combined price of the goods and services are taken , in order to measure the implicit price of the non - market goods , is referred to as hedonic prices .
The model helps to predict the quantitative values for the environmental or ecosystem services which is capable to affect the market prices for homes .
Hence , from the given scenario of the question ,
The correct answer is hedonic prices .
Answer:
d. being consumed by buyers who value it most highly."
Explanation:
Since the efficiency arises when optimal amount of each good and service is being produced and consumed in the economy.
Hence it can be said that inefficiency exists in the economy when a good not being consumed by the consumer who value it highly.
Answer:
The answers are:
- When managers come up with their own plans, they are likely to be more committed to following through on them.
- The environment is a dynamic one, and department and front line managers can come up with more responsive plans than can central leadership.
Explanation:
Personally I consider a very good idea if the Board of Governors decides to hire planning specialists to help regional or local managers develop their own plans. There are several advantages with this approach:
Regional managers know their "markets" and how to act and deal with them. I guess most of the Board of Governors is made up of wealthy or very important members, and many times their reality is very different than that of normal regular people.
Also, if regional managers can come up with their own plans, they will be extremely motivated to follow them through. They know that if something goes wrong, all the fingers will blame them.