What is the stock market?

Question

Could someone explain to me what it is or how it works? Just basically?

Answer 1

lol.. easter bunny

you know how people own little stores and stuff? usually the owner invests all his or her money and the store is 'theirs'

corporations are really companies that have multiple owners. they raise money by selling something called shares. they have to do this because no one person would have that much money to start a company. you can partly own a company if you buy some stocks (or all of it if you buy all, which you probably won't)

selling and buying shares is what a stock market is. selling and buying ownership of companies

so in summary

small groceries -> 1 owner's start up money -> owner owns the company

bigger stores ->2 owner's start up money -> 1 owner owns 50% of store

corporations -> raise money by selling shares -> ownership of company depends on % ownership of stocks

you can wikipedia this btw :s

Answer 2

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