1. Which of the following statements is CORRECT?
a) The DJIA is a secondary market where stocks are traded.
b) Investment Banks are financial intermediaries that pool money from lots of small investors in order to buy stocks and bonds issued by corporations and government.
c) Hedge funds are not as highly regulated as most other types of financial institutions. The justification for this light regulation is that only the wealthiest investors invest in hedge funds, and they understand the risks.
d) A company is said to be publicly held if they are highly regulated by the government.
2. The primary reason for the shift to an information economy was caused by ____
a. The founding of Microsoft and Apple
b. a shift from heavy industrial activity to an emphasis on information processing
c. the invention of the personal computer
d. The invention of software
e. the invention of the internet