When the Treasury bond market becomes more liquid, other things equal, the demand curve for corporate bonds shifts to the ________ and the demand curve for Treasury bonds shifts to the ________
A) right; right
B) right; left
C) left; right
D) left; left
C
You might also like to view...
There is often a trade-off between
A) economic efficiency and economic equity. B) limited and unlimited resources. C) voluntary and involuntary exchanges. D) productive efficiency and allocative efficiency.
The amount of time it takes for fiscal policy to have an impact on the economy creates:
A. an information lag. B. a formulation lag. C. an implementation lag. D. a direction lag.
Which component of consumption has a negative or indirect relationship with consumption?
A. Expected future income B. Real income C. Wealth D. Interest rates
An increase in the rate of economic growth curve could be caused by all of the following except
A. a national tax that encourages all employers to provide more training and education for employees which leads to an across-the-board upgrade of the skill level of the nation's workforce. B. a movement along the production possibilities curve so that the society produces more consumer goods and less capital goods. C. an increase in immigration that increases the country's labor force by 20 percent. D. an increase in research and development spending for space technology that improves the quality of the nation's capital stock.