Author Question: Suppose China decides to sell a vast majority of their large holdings of U.S. Treasury bonds. If you ... (Read 57 times)

fagboi · **on:** Jun 29, 2018

Suppose China decides to sell a vast majority of their large holdings of U.S. Treasury bonds. If you are thinking of refinancing your house, how would China's action affect your decision to refinance?

A) You would want to wait to refinance as interest rates should rise.
B) China's actions should not affect your decision to refinance in any way.
C) You would want to refinance as soon as possible as interest rates should rise.
D) You would want to wait to refinance as interest rates should fall.

Question 2

U.S. dollars can currently be exchanged for gold by foreign central banks, but not by U.S. citizens.

Indicate whether the statement is true or false