TED-Ed: Oliver Elfenbaum: How does the stock market work?

TED-Ed: Oliver Elfenbaum: How does the stock market work?

Assessment

Interactive Video

Business, Life Skills

KG - University

Hard

Created by

Quizizz Content

FREE Resource

The video explores the evolution of the stock market from its inception by the Dutch East India Company in the 1600s to its complex modern form. It explains how companies raise funds through IPOs and how stock prices fluctuate based on supply and demand. The video also discusses the various factors influencing the market, such as economic conditions and investor behavior, and emphasizes the importance of long-term investing. With the internet, stock trading has become accessible to everyday investors, allowing them to support businesses and pursue financial goals.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the primary reason the Dutch East India Company sold shares to private citizens?

To compete with other companies

To reduce the number of ships in their fleet

To fund their expensive voyages

To avoid paying taxes

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the first step a company takes when it decides to go public?

It opens new branches

It reduces its workforce

It advertises itself to big investors

It starts selling products online

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How does an increase in stock demand affect the stock price?

The stock price decreases

The stock price becomes unpredictable

The stock price remains the same

The stock price increases

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What can cause a company's stock price to fall?

An increase in production technology

A new product launch

A rise in investor confidence

A decrease in demand for its stocks

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Why do most professionals recommend long-term investing?

Because it guarantees quick profits

Because it is less affected by market noise

Because it requires less initial investment

Because it is only for the rich and powerful