Chapter 17 Vocabulary

Question 1

stocks, bonds, and other financial instruments traded on a stock exchange

Answer 1

securities

Question 2

risky business venture involving buying or selling in the hope of making a large, quick profit

Answer 2

speculation

Question 3

method of buying stock with a small cars down payment and the rest borrowed from a stockbroker. Stockbroker holds shares of stock as collateral for the loan; borrower repays broker from stock resale profits

Answer 3

on margin

Question 4

system of paying for goods at regular intervals, usually with interest added to the balance

Answer 4

installment

Question 5

official authorization to suspend payments, as with a debt; officially authorized period of waiting

Answer 5

moratorium

Question 6

elected official who continues to hold office during the period between the election and inauguration

Answer 6

lame duck

Question 7

place or building where arms and military equipment are stored

Answer 7

armory