Other things the same, corporate bonds generally feature higher interest rates than U.S. government bonds
a. True
b. False
Indicate whether the statement is true or false
True
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Refer to the figure below. This firm's marginal revenue curve would intersect the vertical axis at ________.
A. $70 B. $35 C. $20 D. $0
Which of the following best describes a double coincidence of wants?
A) Two buyers want the same good. B) Neither buyer wants a good. C) You have what another wants and you want what they have. D) A buyer and a seller rather than two buyers or two sellers must meet. E) None of the above answers is correct.
In the simple deposit expansion model, if the Fed purchases $100 worth of bonds from a bank that previously had no excess reserves, the bank can now increase its loans by
A) $10. B) $100. C) $100 times the reciprocal of the required reserve ratio. D) $100 times the required reserve ratio.
In Keynes's view, an excess quantity of money supplied causes people to:
a. sell bonds and the interest rate rises. b. buy bonds and the interest rate falls. c. buy bonds and the interest rate rises. d. increase speculative balances.