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Which of the following might be expected to decrease the price of a stock through a discount rate channel? Circle all that apply and why.

Which of the following might be expected to decrease the price of a stock through a discount rate channel? Circle all that apply and why.

  1. Investors become more willing to hold risky assets in general

  2. A lightning strike causes a major factory for the company to burn to the ground

  1. A major bank collapse significantly increases uncertainty in the economy

  1. The firms CEO, who was talented at increasing sales, dies in a plane crash.

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