The establishment of a futures market in a commodity should not have a major impact on spot prices because

Question

Quizplus · Accepted Answer

Futures are a zero-sum game, meaning that for every winner, there is a loser. This characteristic does not inherently affect the underlying spot prices of the commodity, as it is more about the redistribution of wealth between parties in the futures market rather than a direct impact on the commodity's supply and demand dynamics.

The Establishment of a Futures Market in a Commodity Should