Why do investors buy shares?

They expect future profits or an increase in the company's value

What is a stock market crash?

A sudden, significant drop in stock prices

What is the NASDAQ Composite Index?

An index tracking the value of companies on the NASDAQ stock exchange

What toy bubble is mentioned?

The Beanie Babies bubble in 1996

Which companies were hit hardest by the dot-com bubble?

Communication companies with heavy investments in infrastructure

What is a stock market bubble?

When stock prices rise far beyond their actual value due to speculation

What lesson is learned from Beanie Babies?

Not all speculative investments lead to long-term profits

What causes unrealistic stock prices?

Excessive buying driven by "herd mentality"

What is "herd mentality"?

Investors following others actions rather than making independent decisions

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Economic Bubbles

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Questions 10

Answers

1
Why do investors buy shares?
They expect future profits or an increase in the company's value
To conceal the illicit origin of property obtained through illegal actions
Because of the high value of the materials found inside
2
What happened on March 10th, 2000?
The dot-com bubble peaked
The fall of Tenochtitlan
The Human Genome Project comes to light
3
What is a stock market crash?
A sudden, significant drop in stock prices
All people who buy and sell financial assets
The purchase and sale of company securities is carried out
4
What is the NASDAQ Composite Index?
An index tracking the value of companies on the NASDAQ stock exchange
It is the exchange of money for a product or service
It is the largest e-commerce platform in the region
5
What toy bubble is mentioned?
The Barbie doll of 1959
The Beanie Babies bubble in 1996
Rubik's Cube in 1974
6
Which companies were hit hardest by the dot-com bubble?
Small Businesses
Economy companies
Communication companies with heavy investments in infrastructure
7
What is a stock market bubble?
When stock prices rise far beyond their actual value due to speculation
Financial strategy
Marketing of the products that are in the warehouse
8
What lesson is learned from Beanie Babies?
Saving is not easy and sometimes we prefer to spend than to save
You have to be kind and respectful
If we fail to achieve a goal, we should not underestimate it
Not all speculative investments lead to long-term profits
9
What causes unrealistic stock prices?
It pollutes the financial markets
Inner ear problems
Excessive buying driven by "herd mentality"
10
What is "herd mentality"?
Investors following others actions rather than making independent decisions
Describe a way of looking at challenges and setbacks
Someone who thinks and lives life with a scarcity mindset
The mentality that humans have to follow in order not to sink

Economic Bubbles Flashcards | StudBud