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What is the term used for an amount of money borrowed by the government and the interest on the money that is borrowed?

The term used for an amount of money borrowed by the government, along with the interest on that borrowed amount, is called "public debt" or "national debt." This debt arises when a government finances its expenditures by issuing securities, such as bonds, to investors. The interest paid on these securities represents the cost of borrowing.


What term best describes buying on margin during the 1920?

The term that best describes buying on margin during the 1920s is "speculative investing." This practice involved investors borrowing money to purchase more stock than they could afford, hoping to maximize profits from the rising market. However, it contributed significantly to the stock market crash of 1929, as many were unable to repay their loans when stock prices plummeted.


What is a borrowee?

A borrowee is an individual or a company that borrows money from a borrower, though this term is not correct. The grammatically correct term is borrowed.ex: XYZ lent money to ABC. XYZ sued the borrowed because it was not receiving its capital back.Although a word 'borrowee' is not a correct term, it is sometimes used in financial world of business to describe an entity that an individual or an institution has 'borrowed' money from, NOT the one borrowing who is the 'borrower.'example:A 'borrower,' out of desperation, 'borrowed' money from a 'borrowee' with high interest rate and caused himself to fall into deeper financial trouble.Also, 'borrowed' is not grammatically correct term of either a 'borrowee' or a 'borrower,' but is only a past form of a verb, 'borrow.'


What is the term for the money a stockbroker makes from the sale of stock?

commission


What are the differences between buying stock and buying options, and which one would be a better investment strategy for me?

The main difference between buying stock and buying options is that when you buy stock, you own a piece of the company, while buying options gives you the right to buy or sell the stock at a specific price within a certain time frame. Buying stock is generally considered a more straightforward and long-term investment strategy, while buying options can be riskier and more complex due to the time sensitivity and potential for loss of the entire investment. The better investment strategy for you depends on your risk tolerance, investment goals, and knowledge of the stock market. If you are looking for a more stable and long-term investment, buying stock may be a better option. However, if you are willing to take on more risk for the potential of higher returns, buying options could be suitable, but it requires a good understanding of how options work.

Related Questions

What is the term used for all of the money borrowed by the government and the interest on the money that is borrowed?

public debt


What is speculation buying?

Speculation buying is investing in short term investments and hoping to earn money on market fluctuations. It is different than buying stock in a company based on the company's value.


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 is the term used for an amount of money borrowed by the government and the interest on the money that is borrowed?

The term used for an amount of money borrowed by the government, along with the interest on that borrowed amount, is called "public debt" or "national debt." This debt arises when a government finances its expenditures by issuing securities, such as bonds, to investors. The interest paid on these securities represents the cost of borrowing.


Which term refers to the predetermined amount an individual must pay for the use of borrowed money?

The predetermined amount an individual must pay for the use of borrowed money is called interest.


What is the definition of the term treasury stock?

The term "Treasury Stock" is defined as the stock that is brought back by the corporation that issued it earlier. The purpose of buying back the stock is either for resale or retirement and the availability of the outstanding stock is much reduced.


What term best describes buying on margin during the 1920?

The term that best describes buying on margin during the 1920s is "speculative investing." This practice involved investors borrowing money to purchase more stock than they could afford, hoping to maximize profits from the rising market. However, it contributed significantly to the stock market crash of 1929, as many were unable to repay their loans when stock prices plummeted.


What term is used to describe when stock prices quickly and steadily increase?

a buying on the margin.


What is a borrowee?

A borrowee is an individual or a company that borrows money from a borrower, though this term is not correct. The grammatically correct term is borrowed.ex: XYZ lent money to ABC. XYZ sued the borrowed because it was not receiving its capital back.Although a word 'borrowee' is not a correct term, it is sometimes used in financial world of business to describe an entity that an individual or an institution has 'borrowed' money from, NOT the one borrowing who is the 'borrower.'example:A 'borrower,' out of desperation, 'borrowed' money from a 'borrowee' with high interest rate and caused himself to fall into deeper financial trouble.Also, 'borrowed' is not grammatically correct term of either a 'borrowee' or a 'borrower,' but is only a past form of a verb, 'borrow.'


What is the term for the money a stockbroker makes from the sale of stock?

commission


What is the term for people owing money?

The term for people owing money is "debtors." Debtors are individuals or entities that have borrowed money and are obligated to repay it, often under specific terms and conditions. In a broader context, the term "indebtedness" describes the overall state of owing money.


What are the differences between buying stock and buying options, and which one would be a better investment strategy for me?

The main difference between buying stock and buying options is that when you buy stock, you own a piece of the company, while buying options gives you the right to buy or sell the stock at a specific price within a certain time frame. Buying stock is generally considered a more straightforward and long-term investment strategy, while buying options can be riskier and more complex due to the time sensitivity and potential for loss of the entire investment. The better investment strategy for you depends on your risk tolerance, investment goals, and knowledge of the stock market. If you are looking for a more stable and long-term investment, buying stock may be a better option. However, if you are willing to take on more risk for the potential of higher returns, buying options could be suitable, but it requires a good understanding of how options work.