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FinCap Friday: Markets Rise to Record Highs Flashcards | StudBud

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FinCap Friday: Markets Rise to Record Highs

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Questions 5

Answers

1
Which of the following is true about the U.S. economy and the U.S. stock market?
The economy controls the stock market
The stock market controls the economy
They’re related, but they’re not the same
They are the same exact thing
2
Which type of company could be included in the S&P 500 index?
A small startup worth $50 million
A hot, new stock from a $500 million company
A local family-owned business
A large, well-established company with a total value of $215 billion
3
What is the S&P 500?
The 500 fastest-growing stocks in the world
A type of investment fund for popular stocks
An index tracking 500 large-cap companies in the U.S. stock market
A government agency that regulates financial markets
4
True or False? The U.S. stock market hit record high levels over 40 times in the year 2024 alone.
TRUE
FALSE
5
How do lower interest rates typically impact the economy and the stock market?
They can cause companies to lose money and people usually invest less
They can reduce economic activity and boost the market
They can boost borrowing and people usually invest more
They can discourage borrowing and boost the market