1. Which of the following are secondary markets?
The New York Stock Exchange
The U.S. government bond market
the over-the-counter stock market
the options market
All of the above
2. When the borrower engages in activities that make it less likely that the loan will be repaid, ______________ is said to exist.
fraud
moral hazard
adverse selection
indirect finance
all of the above
3. Which of the following is a short-term financial instrument
bankers acceptance
commercial paper
Treasury bill
federal funds
All of the above
4. An important financial institution that assists in the initial sale of securities in the primary market is the:
investment bank
commercial bank
stock exchange
brokerage house
5. Markets in which funds are transferred from those who have excess funds available to those who have a shortage of available funds are called:
commodity markets
funds markets
financial markets
exchange markets
filthy capitalist institution/obscene profits dens of iniquities