Recession Of 2007-2009 Essay
Chapter1
1. How did the recession of 2007–2009 compare with other recessions since the Great Depression in terms of length?
Ans. It was the longest. This may be close to a perfect storm situation on top of a real estate bust, and a financial bust [crime?],
"Technology" is a big part of the unemployment situation, and then there's the world wide normalizing of salary levels -
China, India, etc. up, US down.
2. What effect did the recession of 2007–2009 have on government regulation?
It was greatly increased. 3. What advantages does a sole proprietorship offer? What is a major drawback of this type of organization?
A sole proprietorship offers the advantage of simplicity of decision-making and low organizational and operating …show more content…
The Securities and Exchange Commission is responsible for protecting markets against insider trading. In the past people have gone to jail for trading on non-public information. This has included company officers, investment bankers, printers who have information before it is publishers and even truck drivers who deliver business magazines and read positive or negative articles about a company before the magazine is on the newsstands and then place trades or have friends place trades based on that information. The SEC has prosecuted anyone who profits from inside information. Every decision
12. What is the difference between a primary and a secondary market?
A primary market refers to the use of the financial markets to raise new funds for the corporation. After the securities are sold to the public (institutions and individuals), they trade in the secondary market between investors. It is in the secondary market that prices are continually changing as investors buy and sell securities based on the expectations of corporate prospects.
13. Assume you are looking at many companies with equal risk; which ones will have the highest stock
1. How did the recession of 2007–2009 compare with other recessions since the Great Depression in terms of length?
Ans. It was the longest. This may be close to a perfect storm situation on top of a real estate bust, and a financial bust [crime?],
"Technology" is a big part of the unemployment situation, and then there's the world wide normalizing of salary levels -
China, India, etc. up, US down.
2. What effect did the recession of 2007–2009 have on government regulation?
It was greatly increased. 3. What advantages does a sole proprietorship offer? What is a major drawback of this type of organization?
A sole proprietorship offers the advantage of simplicity of decision-making and low organizational and operating …show more content…
The Securities and Exchange Commission is responsible for protecting markets against insider trading. In the past people have gone to jail for trading on non-public information. This has included company officers, investment bankers, printers who have information before it is publishers and even truck drivers who deliver business magazines and read positive or negative articles about a company before the magazine is on the newsstands and then place trades or have friends place trades based on that information. The SEC has prosecuted anyone who profits from inside information. Every decision
12. What is the difference between a primary and a secondary market?
A primary market refers to the use of the financial markets to raise new funds for the corporation. After the securities are sold to the public (institutions and individuals), they trade in the secondary market between investors. It is in the secondary market that prices are continually changing as investors buy and sell securities based on the expectations of corporate prospects.
13. Assume you are looking at many companies with equal risk; which ones will have the highest stock