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Buying on margin.
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∙ 13y ago
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Buying on credit?
Buying on credit is also called Buying on Margin
What does it mean to buy a stock on margin?
buying stock on margin is buying stock with money you dont have. in essence buying with credit. this is now illegal i believe as it was one of the culprits behind the great depression
1920 buying on credit was called buying on?
Buying on Margin
What does credit spreads involve?
A credit spread is when a person purchases some interest in a company and gets a discount on buying more of the same stock. A credit spread is used mostly when the stock is in a troubled company.
Buying stocks on credit is called?
margin
What is the term for individuals who invest in a business by buying shares of stock?
Individuals who invest in a business by buying shares of stock are called stockholders or shareholders.
What was it called when buying stock and then selling it of making a quick profit called?
speculation
How did buying stocks on credit contribute to the Great Depression?
When stock prices fell, people did not have the money to cover their losses.
What are three ways that the market can fail?
It can crash if people sell there stocks and yous to much credit and stop buying stock.
Paying part of stock's price and borrowing the rest is called?
Buying on margin
What happened before the great depression?
Stock Market crash of 1939 , use of credit , dust bowl , buying on the margin , buying on speculation , bonus army , lynching , hoovervilles ,
What where two reason for poverty in the 1920s?
Stock market crash due to buying on margin and overextention of credit to buy consumer goods.
