The __________ market liquidity is, the __________ the bid-asked spread will be
A) higher; wider
B) lower; narrower
C) higher; narrower
D) None of the above.
C
Economics
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If the demand is perfectly elastic, what would happen to the quantity demanded if there is a tiny increase in price?
a. quantity demanded will increase proportionately b. quantity demanded will fall to zero c. quantity demanded will register a disproportionately high increase d. quantity demanded will decrease proportionately
Economics
The notion that when the price of the good you want rises you will buy less of it because you will find another good that will do instead is provided as the explanation for
A. the substitution effect. B. diminishing marginal utility. C. the real-balances effect.
Economics