Review on Michael Moore's "Capitalism, a Love Story"

Topics: Stock market, Stock, Security Pages: 3 (1142 words) Published: April 21, 2013
The way the stock market works in the world today is if there is a Stock (Piece or share of a company) that are being bought out by a lot of investors, the price of the stock will increase extraordinary high. If the stock does not get bought, the price of the stock will lower to a cheaper price. To buy the best stock that will soon be more valuable is a race as brokers try and fight to find the potential grossing stock and buy tons of them at a cheap price to later on earn tons of money as it becomes more valuable to invest and sell as the stock value increases and grosses. The stock market consists of a lot of people with different positions as an Investor is someone who commits capital in order to gain financial returns. A broker is a person who buys and sells goods or assets for others. A trader is a person who buys and sells the stock in the market. A corporate raider is an investor who buys a large number of shares in a corporation whose assets appear to be undervalued. The stock market has a lot of terms that define small things that broker/traders need to know to work in the stock market as like derivatives which are contracts between two or more parties. Other small stuff come into play as in commodities which are marketable items produced to satisfy wants or needs of the people. Dividends are payments made by a corporation to its shareholder members which are basically the portion of corporate profits paid out to stockholders. Now here are the big terms that people should be aware of to try to make it big as like Equity which is the residual claim or interest of the most junior class of investors in assets, after all liabilities are paid. Golden Parachutes are agreements that are made between a company and an employee (usually upper executive) specifying that the employee will receive certain significant benefits if employment is terminated which put a lot of CEO’s in the jackpot and have them rich for a long while. And finally, Liquidation which is...
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