USA HISTORY

THE GREAT DEPRESSION 1929 1940

THE GREAT DEPRESSION

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Making extremely risky business transactions on the chance of making quick or large profits.
A
speculation
B
Calculated Risk Investment
C
Either A or B
D
None of the above
Explanation: 

Detailed explanation-1: -Speculation. This term refers to making extremely risky business transactions on the chance of making quick or considerable profits. Buying on Margin. This term refers to paying a small percentage of a stock’s price as a down payment and borrowing the rest.

Detailed explanation-2: -The term “HHI” means the Herfindahl–Hirschman Index, a commonly accepted measure of market concentration. The HHI is calculated by squaring the market share of each firm competing in the market and then summing the resulting numbers.

Detailed explanation-3: -Buying on margin occurs when an investor buys an asset by borrowing the balance from a bank or broker. Buying on margin refers to the initial payment made to the broker for the asset-for example, 10% down and 90% financed. The investor uses the marginable securities in their broker account as collateral.

Detailed explanation-4: -Buy Now, Pay Later (BNPL) is a type of short-term financing that allows consumers to make purchases and pay for them at a future date, often interest-free. Also referred to as “point of sale installment loans, ” BNPL arrangements are becoming an increasingly popular payment option, especially when shopping online.

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