A rise in the price of a bond causes the yield of the bond to

A) rise.
B) fall.
C) remain unchanged.
D) rise if it's a short-term bond, fall if it's a long-term bond.


B

Economics

You might also like to view...

When do Federal Reserve notes become part of the money supply (M1)? When they are

A) deposited in the vaults of commercial banks. B) printed by the Bureau of Engraving. C) received by the Federal Reserve Banks. D) spent by the public on newly-produced goods. E) withdrawn from commercial banks by the public.

Economics

Corrective taxes are unlike most other taxes because they

a. distort incentives. b. move the allocation of resources away from the social optimum. c. raise revenue for the government. d. move the allocation of resources closer to the social optimum.

Economics

List the three major problems in using the CPI as a measure of the cost of living

Economics

The introduction of new technologies that allow producers to specialize in those activities in which they are relatively more efficient is an example of how overall productivity increases because of the:

A. equilibrium principle. B. principle of comparative advantage. C. scarcity principle. D. incentive principle.

Economics