Each firms shares demanded equals the quantity supplied

Assignment Help Business Economics
Reference no: EM131253333

For each stock in the stock market, the number of shares sold daily equals the number of shares purchased. That is, the quantity of each firm’s shares demanded equals the quantity supplied. So, if this equality always occurs, why do the prices of stock shares ever change?

A. Prices seldom change.

B. Prices are set at a different level each day by Wall Street traders.

C. Prices change in reaction to a mismatch between quantity demanded and quantity supplied.

D. Prices change due to the whims of those selling shares.

Reference no: EM131253333

Questions Cloud

The price elasticity of demand in the short run : Why is it that the price elasticity of demand in the short run is 1 ? Explain why the income elasticity of demand for dental care is >1 while the income elasticity of demand for flour is
The monthly price of internet access service decreases : In a local? market, the monthly price of Internet access service decreases from ?$20 to ?$10?, and the total quantity of monthly accounts across all Internet access providers increases from 90,000 to 190,000. What is the value price elasticity of? de..
Company basics purpose of expansion-project specifications : The final project for this course is a written International Investment Report. Your company wants you to research a possible investment in a foreign country. Please pick a company and a country for investment. Describe the basics of the proposal. Id..
Pros and cons of obtaining fair market value analyses : What do you see as the pros and cons of obtaining fair market value analyses on the compensation paid to physicians, especially when the market rates are benchmarked against national standards? How could this information be used in negotiating rat..
Each firms shares demanded equals the quantity supplied : For each stock in the stock market, the number of shares sold daily equals the number of shares purchased. That is, the quantity of each firm’s shares demanded equals the quantity supplied. So, if this equality always occurs, why do the prices of sto..
Is the state water-quality standard being met downstream : If the state standard downstream is not met, the state has informed town 1 that they must treat their sewage further so the downstream standard is met. Use a mass-balance approach to show that the state request is unfeasible.
Discuss the models used for mis development : 1. Discuss the models used for MIS development. 2. Describe the methods used in implementing MIS. 3. Explain the role of MIS in an organization for planning and decision making.
The four types of resources that all organizations have : What are the four types of resources that all organizations have? - Llist them in order of imporatnace for your unieeristy.
What were the consequences of a failure to report : What were the consequences of a failure to report? What impact did his decision have on patient safety, on the risk for litigation, on the organization's quality metrics, and on the workload of other hospital departments? As Mike's manager, what w..

Reviews

Write a Review

Business Economics Questions & Answers

  Why would anyone pay that much for a brand name

According to Interbrand Corporation, the Coca-Cola brand name (not the company) is worth $67 billion. At least theoretically, this is what Coke could get for the name if it decided to sell it to someone else. Economically speaking, what does this $67..

  Write essay on the concepts discussed in article

You may want to clarify the thesis topic, highlight the assumptions made, the biases of the author etc and provide a brief summary of the argument and the supporting evidence.

  Company pays dividends is to value the dividends

In practice, a common way to value a share of stock when a company pays dividends is to value the dividends over the next five years or so, then find the “terminal” stock price using a benchmark PE ratio. Suppose a company just paid a dividend of $1...

  Output of perfectly competitive market

What is the relationship between the output of a perfectly competitive market and the output of a monopoly when both face the same costs (assume constant marginal cost) and the same linear demand. Sketch this basic assumptions and comment on the two ..

  Most accurate about feasibility studies

Which of the following statements is most accurate about feasibility studies?

  Discuss the current issue of illegal aliens and the impact

Discuss the current issue of illegal aliens and the impact this has on the U.S. health care system. Should the taxpayers pay for health care for individuals who enter this country illegally? How do emergency rooms and hospitals protect their fiscal s..

  Technology based-quality based or cost based

Success of a company investing and operating in a foreign country depends on the competitive advantage of the company. The entry strategy could be technology based, quality based, or cost based. Explain and comment.

  Buyers to offer higher prices or persistent excess supply

Suppose the market for hamburgers is unregulated. That is, hamburger prices are free to adjust based on the forces of supply and demand. If a surplus exists in the hamburger market, then the current price must be ________(higher or lower?) than the e..

  What happens to capital per worker and output per worker

What happens to capital per worker and output per worker if machines begin depreciating at a faster rate than they once did? Use a graph to help you discuss your answer. Describe what will happen to growth in the short-run and the long-run

  Q1 when the price of ketchup rises by 15 the demand for hot

q1. when the price of ketchup rises by 15 the demand for hot dogs falls by 1 b are the goods complements or

  What is the price it charges to its consumers

A firm faces a demand where q=20-P. q is quantity demanded, P is price. Its total cost function is TC = 2q^2 + 2q + 20 . How many should it produce to maximize profit? What is the price it charges to its consumers?

  What are the implications of other nations acquiring

What are the implications of other nations acquiring a large amount of U.S. Treasury bills on the U.S. exchange rates?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd