Jace and Molly are trying to predict the prices for a new issue of stock for a corporation they are studying. All they know currently is that the corporation's profits have been down for the past year and are not projected to rise soon. They also know that the economy has been in a downward trend. Based on just this information, what can be known about the prices for the new issue of stock? It will likely be higher than the last issue of stock, as the economy and profits are both down, thus ensuring that the stock needs to be priced high in order to sell. It will likely be lower than the last issue of stock, as the economy and profits are both down, thus making the stock less attractive at a higher price. It will likely be lower than the last issue of stock because the profits have been dropping, which could lead to stockholders buying more stock now before profits rise. It will likely be higher than the last issue of stock, because with the economy not doing well, banks will likely buy a lot of stock to sell when the economy recovers.