a) Which statement is FALSE regarding the trading of securities and bonds in the U.S. and other markets? I. Prior to 1970, the securities traded in the U.S. stock and bond markets comprised about 65% of all the securities available in world capital markets II. By 1998, U.S. bonds and equities accounted for 42.3% of the total securities market versus 47.3% for nondollar bonds and stocks II. If you consider only the stock and bond market, the U.S. proportion of this combined market is 47% in 1998.

International Financial Management
14th Edition
ISBN:9780357130698
Author:Madura
Publisher:Madura
ChapterA6: Appendix 6: Government Intervention During The Asian Crisis
Section: Chapter Questions
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Kindly give a full detailed explanation of the reason. With illustrated examples.

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a) Which statement is FALSE regarding the trading of
securities and bonds in the U.S. and other markets?
I. Prior to 1970, the securities traded in the U.S. stock and bond
markets comprised about 65% of all the securities available in world
capital markets
II. By 1998, U.S. bonds and equities accounted for 42.3% of the total
securities market versus 47.3% for nondollar bonds and stocks
II. If you consider only the stock and bond market, the U.S.
proportion of this combined market is 47% in 1998.
Explain your correct answer.
Transcribed Image Text:a) Which statement is FALSE regarding the trading of securities and bonds in the U.S. and other markets? I. Prior to 1970, the securities traded in the U.S. stock and bond markets comprised about 65% of all the securities available in world capital markets II. By 1998, U.S. bonds and equities accounted for 42.3% of the total securities market versus 47.3% for nondollar bonds and stocks II. If you consider only the stock and bond market, the U.S. proportion of this combined market is 47% in 1998. Explain your correct answer.
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