Question: What is speculation, and how does it differ from investment? 2. What are some common types of speculation in financial markets, such as trading stocks,
What is speculation, and how does it differ from investment?
2. What are some common types of speculation in financial markets, such as trading stocks, commodities, or currencies?
3. How do speculators try to predict or profit from price movements in these markets?
4. What are some risks associated with speculation, such as market volatility, liquidity issues, or regulatory challenges?
5. What are some ethical considerations associated with speculation, such as insider trading or pump-and-dump schemes?
Step by Step Solution
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1 Speculation involves making highrisk bets on the future direction of asset prices with the goal of generating shortterm profits It typically involve... View full answer
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