Call provisions will be exercised when interest rates _________ and bond values _________.
A: rise; rise
B: fall; rise
C: rise; fall
D: fall; fall
A: rise; rise
B: fall; rise
C: rise; fall
D: fall; fall
举一反三
- When the interest rate on a bond is below the equilibrium interest rate, there is excess _________ in the bond market and the interest rate will _________ A: demand; rise B: demand; fall C: supply; fall D: supply; rise
- When the interest rate on a bond is above the equilibrium interest rate, in the bond market there is excess ________ and the interest rate will ________. A: demand; rise B: demand; fall C: supply; fall D: supply; rise
- Budget deficits reduce national saving causing real interest rates A: and investment to fall B: and investrment to rise C: to rise and investment to fall D: None of the above
- According to quantity equation the price level would change less the proportionately with a rise in the money supply if there were also A: either a rise in output or a rise in velocity. B: either a rise in output or a fall in velocity. C: either a fall in output or a rise in velocity. D: either a fall in output or a fall in velocity.
- In actual practice, short-term interest rates are just as likely to fall as to rise; this is the major shortcoming of the ________