A decline 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.
Answer: A
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Economics tells us which resource allocations are preferable.
Answer the following statement true (T) or false (F)
The law of demand refers to the:
a. tendency of prices to increase as more units of a product are demanded. b. increase in price that results from an increase in demand for a good with a limited supply. c. inverse relationship between the price of a good and the quantity of the good demanded. d. increase in the quantity of a good available as the price of the good increases.
The price of a good will tend to rise when
What will be an ideal response?
For a perfectly competitive market, long-run equilibrium is characterized by all of the following but which one?
A. P = maximum ATC. B. P = minimum ATC. C. P = MC. D. P = MR.