When there is a stock market boom
A) wealth and investment rise.
B) wealth rises and investment falls.
C) wealth falls and investment rises.
D) wealth and investment fall.

Question

Quizplus · Accepted Answer

When there is a stock market boom, the demand for stocks increases and their prices rise. This creates a positive perception of the economy and leads to increased confidence, resulting in a rise in wealth and investment. Investors are likely to see their stock portfolios increase in value, leading to a boom in the stock market.

When There Is a Stock Market Boom