Money markets are where trades occur for:

A. short-term bonds issued by both governments and private companies.
B. bonds of all maturities.
C. stocks.
D. derivatives.


Answer: A

Economics

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In the 1960s, banks started issuing negotiable CDs in order to

A) offer higher interest rates than they were allowed to on deposits. B) lower information costs. C) appeal more to the small borrower. D) lend in the direct finance market.

Economics

Monopolies may earn positive economic profits in

a. only the short run. b. the short run or the long run. c. only the long run. d. never.

Economics

Answer the following statements true (T) or false (F)

1. If the newspapers report that there is a shortage of strawberries, it must mean that the current price of strawberries is below the equilibrium price. 2. If there is a surplus in a market, competition among the sellers will drive price down. 3. If we observe that the price of gold is rising and the quantity of gold traded in the market is falling, then this must be the result of an increase in the supply of gold. 4. When the government requires ethanol from corn to be used as an additive to gasoline, the supply of corn decreases.

Economics

Checking exchange rates, you find $1 equals 0.75 euros. Then the price of 1 euro is

A) $0.25. B) $0.75. C) $1.33. D) $4.30.

Economics