Finance and Investment

One of the reference sources recently added to Credo Reference is the "Dictionary of Finance and Investment Terms". This is an American work but its entries apply to many other countries. Besides, the worldwide credit crunch is often said to have started in the USA.

1. In finance, what does "VAT" stand for?
   Value-added tax.
2. Which currency replaced the ECU (European Currency Unit) in 1999?
   Euro.
3. What is the meaning of the Latin phrase "per capita"?
   Per head or per person.
4. Give the full name of the British economist who devised Keynesian economics.
   John Maynard Keynes.
5. In financial projections, where would you find a "hockey stick"?
   On a graph.
6. Is a "bear market" a prolonged period of rising prices or falling prices?
   Falling Prices.
7. In the USA, what is the nickname for the Federal Home Loan Mortgage Corporation (FHLMC)?
   Freddie Mac.
8. When talking about investments, what is a "boiler room"?
   A place where high-pressure salespeople use banks of telephones to call lists of potential investors.
9. Is a "widow-and-orphan stock" a stock that pays high dividends and is very safe, or a stock that pays low dividends and is very risky?
   A stock that pays high dividends and is very safe.
10. By what name is the International Bank for Reconstruction and Development (IBRD) generally known?
    The World Bank.

Questions set by Tony Augarde, author of "The Oxford Guide to Word Games"

How did you do?

0 - 1    Mmmm, not exactly brilliant.
2 - 5    A reasonable stab.
6 - 8    A good showing. But there's still room for improvement!
9 - 10  You really know your stuff. Well done!