Understanding the Stock Market

1.  What is a stock?

2.  What is the stock market?

3.  What is the stock exchange? Where is the most famous stock exchange located?

4.  What is the Dow?

5.  What is NASDAQ?

6.  What is a recession? When does it occur?

7.  What is a depression? How is it different from a recession?

8.  What is a bear market?

9.  What is a bull market?

10.  What is inflation? Is it good or bad for the economy?

11.  What is a deficit? How is it connected to the national debt?

12.  Why do companies outsource part of their business to another country?

13.  How does a government try and “stimulate” the economy?

Go to www.nyse.com and find the answers to the following questions:

14.  Google

a.  What is the trading symbol?

b.  How much does it cost to purchase this stock?

c.  From the previous day, did the stock go up or down?

d.  What has been the trend over the past year?

15.  Disney

a.  What is the trading symbol?

b.  How much does it cost to purchase this stock?

c.  From the previous day, did the stock go up or down?

d.  What has been the trend over the past year?

16.  Apple Computer

a.  What is the trading symbol?

b.  How much does it cost to purchase this stock?

c.  From the previous day, did the stock go up or down?

d.  What has been the trend over the past year?

17.  Choose an American automobile company (i.e. Ford, GM)

a.  What is the trading symbol?

b.  How much does it cost to purchase this stock?

c.  From the previous day, did the stock go up or down?

d.  What has been the trend over the past year?

18.  Choose a cell phone company.

a.  What is the trading symbol?

b.  How much does it cost to purchase this stock?

c.  From the previous day, did the stock go up or down?

d.  What has been the trend over the past year?

19.  Choose one Bank

a.  What is the trading symbol?

b.  How much does it cost to purchase this stock?

c.  From the previous day, did the stock go up or down?

d.  What has been the trend over the past year?

20.  Chose another stock and report on its status.

a.  What is the trading symbol?

b.  How much does it cost to purchase this stock?

c.  From the previous day, did the stock go up or down?

d.  What has been the trend over the past year?

21.  What did the stock market close at the day before?

22.  Is the stock market currently trading up or down?

23.  How is the stock market a reflection of the current economic situation in the country?

24.  How large a role do you think the economy will play in the next presidential election? Why?

25.  Why do you think Americans are worried about the size of the deficit and the national debt? Explain.

26.  Why do you think the chairman of the Federal Reserve is considered such a powerful person?

Essay:

Using terms from this assignment, compare and contrast a healthy economy with one in recession. Include details about business activity, consumer spending, and unemployment.