The buyer of a derivative is _______ assuming risk relative to the seller.

A. more comfortable
B. less comfortable
C. just as comfortable
D. less open to


A. more comfortable

Economics

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If a corporate bond with face value of $1,000 has an interest rate of eight percent paid once a year for a term of 30 years, what is the size of the annual coupon payment?

A) $1,000 B) $300 C) $80 D) $8

Economics

What is potential GDP?

A) It is the level of real GDP in the long run. B) It is the difference between current GDP and maximum GDP. C) It is the level of real GDP in the short run. D) It is the level of GDP at which inflation is constant.

Economics

Property rights often remain poorly defined because of _____

a. difficulty enforcing ownership once defined b. government fiat c. strong incentives towards the status quo d. monopolies

Economics

Exhibit 1A-4 Straight line In Exhibit 1A-4, as X increases along the horizontal axis, corresponding to points A-D on the line, the Y value remains unchanged at 40 units. The relationship between the X and Y variables is:

A. direct. B. inverse. C. independent. D. undefined.

Economics