ISSN: 2226-3624
Open access
Stock markets are considered as a measure of the economy, in which the condition of the stock exchange indicates the general development of the production sector. Nowadays, the importance of the stock exchange market is regarded among the most important financial tools, especially on the light of the Globalization and the new world order. Economists consider the exchanges as a mirror which reflects the reality of the conditions of the listed firms. While those exchanges had been the source of wealth for some investors, they had been the source of misery and bankruptcy of others, which can be ascribed to the high volatility at those exchanges (Esam, 2007).
Organized Stock markets play a vital role in the recruitment of resources and savings, and their investment, as well as the role they play in the development of economy, and their contribution to attracting foreign and local investments. It can be said also that the success of economic reform programs depends on the presence of an active stock market, which extends and develops the exchange of stocks within an organized market.
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