Lecture Issues in economics today - Chapter 41: The stock market and crashes
Lecture Issues in economics today - Chapter 41: The stock market and crashes
In this chapter, you will learn: Describe how stock prices are determined and what stock markets do, apply the concept of present value to the fundamental elements of stock prices and describe how prices can get out of line with their fundamental value, explain that bankruptcy is an important feature in corporate business but that many of the bankruptcies of 2001 and 2002 involved a level of deception on the part of their accountants that was potentially quite damaging.