Stock Market in 2008
Already since the start of the year the FTSE-100 has fallen 7%. Yesterday, the stock market fell 3% of 190 points on fears related to the growing credit crunch. In particular, American bank Citibank...
View ArticleHow Share Prices Affect Companies
Readers Question: A company issues stock and sells it in a primary market at a fixed price. In that case, do fluctuations in the stock market affect specific companies? In other words, when the stock...
View ArticleThe Role of the Stock Market for Investors
Readers Question: As well, how does the stock market affect the economy? I understand the purpose it serves in raising funds for companies but not the role it plays for the investors? Anything to do...
View ArticleWhat caused the Wall Street Crash of 1929?
Readers question: The question is that how did a flawed capitalism of the 1920’s American economy lead to the 1929’s stock market crash? The 1929 Stock Market crash was a result of various economic...
View ArticleEffect of falling share prices on the economy
How do falling share prices affect the economy? Lower share prices mean investors will see a fall in wealth. However, this is unlikely to influence consumption significantly. Most people who buy shares...
View ArticleHow does the stock market affect the economy?
Movements in the stock market can have a profound economic impact on the economy and everyday people. A collapse in share prices has the potential to cause widespread economic disruption. Most...
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