The main item traded on a stock exchange market is

Assessment: WAEC SSCE - Economics - 2015 (Objective) Subject: Economics

Question 1 Report

The main item traded on a stock exchange market is 

Answer Details
The main item traded on a stock exchange market is new shares. A stock exchange is a market where shares of publicly traded companies are bought and sold by investors. When a company decides to go public, it issues new shares of stock, which are then sold to investors in an initial public offering (IPO). Once the shares are publicly traded, they can be bought and sold on the stock exchange market. Investors buy and sell shares of stock on the stock exchange market based on their assessment of the company's future prospects and the expected return on investment. When an investor buys a share of stock, they become a part owner of the company and are entitled to a portion of its profits. Therefore, the main item traded on a stock exchange market is new shares of publicly traded companies.

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