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Final answer:
Investing in the stock market allows individuals to earn income through dividends and capital gains, with taxation implications based on the duration of stock ownership.
Explanation:
Investing in the stock market allows individuals to make money through dividends and capital gains. Capital gains are profits made by selling a stock for more than its purchase price. When selling stocks, individuals must be aware of taxes on their profits, with different rates for short-term and long-term capital gains.
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