Cornell Professor Vicki Bogan describes what a bond is, how it is different from a stock, and how they help companies grow. Also, learn what happens when you purchase a junk bond.
Discussion Prompt: From your listening (and additional research if you wish), briefly explain the difference between stocks and bonds. What do you think are the pros and cons of investing more in stocks or more in bonds, or a portfolio of both?
Original Air Date: August 18, 2021
Length: 33 Minutes 34 Seconds
Link: https://www.npr.org/2020/02/25/809386076/why-netflix-turned-to-junk
When it originally started, Netflix was a unique and popular streaming service, however, when more competition entered the market, the company struggled to compete. Eventually, Netflix began producing their own content. They created their own production company and by doing so, incurred debt. in order to fund their new content, Netflix has issued more than $2 million worth of junk bonds.
Original Air Date: February 25, 2020
Length: 9 minutes 40 seconds
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