ROLES IN CAPITAL MARKETS

Which of the following is the main income source for a wage earner?

• 
  C. Salaries or wages
  

• Dividends
  

• Rent

• Business profits

Capitalists always manage the day-to-day operations of businesses

• True

• False

Who primarily takes on financial risk in the hope of profit in the capital market?

• Capitalist

• Shareholder

• Entrepreneur

• Wage Earner

What do capitalists contribute to the economy through capital markets?

• Manual labor

• Government regulations

• Business ideas

• Financial resources

Wage earners are also known as laborers in economic terms.

• True

• False

Who generally owns the means of production in a capitalist economy?

• Customers

• Capitalists

• Wage earners

• Government

An entrepreneur's success in the capital market often depends on:

• Business innovation and profitability

• Government employment guarantees

• Fixed interest rates

• Retirement age

Entrepreneurs differ from capitalists mainly in that they:

• Save money for retirement

• Supply labor only

• Work for a fixed salary

• Start and manage new businesses

Capital markets help entrepreneurs by:

• Ensuring minimum working hours

• Enabling access to funding

• Offering fixed salaries

• Providing labor unions

Which role faces the highest risk but also the potential for highest reward?

• Factory employee

• Government worker

• Entrepreneur

• Wage earner