This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Pooling of risk occurs when depository institutions A) make assets more liquid. B) specialize in ... (Read 67 times)

crazycityslicker

  • Hero Member
  • *****
  • Posts: 537
on: Jun 29, 2018
Pooling of risk occurs when depository institutions
 
  A) make assets more liquid.
  B) specialize in loaning only to good borrowers.
  C) bring lenders together.
  D) lend to a variety of different borrowers.

Question 2

If the government begins to run a larger budget deficits, then assuming there is no Ricardo-Barro effect, the demand for loanable funds ________ and the real interest rate ________.
 
  A) decreases; falls
  B) decreases; rises
  C) increases; rises
  D) increases; falls


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

lolol

  • Sr. Member
  • ****
  • Posts: 330
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

C


crazycityslicker

  • Member
  • Posts: 537
Reply 2 on: Jun 29, 2018
Excellent

cassie_ragen

  • Member
  • Posts: 347
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

On average, the stomach produces 2 L of hydrochloric acid per day.

Did you know?

Nearly 31 million adults in America have a total cholesterol level that is more than 240 mg per dL.

Did you know?

Once thought to have neurofibromatosis, Joseph Merrick (also known as "the elephant man") is now, in retrospect, thought by clinical experts to have had Proteus syndrome. This endocrine disease causes continued and abnormal growth of the bones, muscles, skin, and so on and can become completely debilitating with severe deformities occurring anywhere on the body.

Did you know?

A seasonal flu vaccine is the best way to reduce the chances you will get seasonal influenza and spread it to others.

Did you know?

Addicts to opiates often avoid treatment because they are afraid of withdrawal. Though unpleasant, with proper management, withdrawal is rarely fatal and passes relatively quickly.

The use of bacteria to make human insulin The use of bacteria to make human insulin
Microscopic photo taken by Opportunity showing a gray hematite concretion, indicative of the past pr Microscopic photo taken by Opportunity showing a gray hematite concretion, indicative of the past pr
Two wells are filled with the same antigen, and when they diffuse to the antibody, they make a line ... Two wells are filled with the same antigen, and when they diffuse to the antibody, they make a line ...
Chlamydospore or spherule that occurs at body temperature. Chlamydospore or spherule that occurs at body temperature.
The gel–liquid crystalline phase transition in a synthetic lipid bilayer The gel–liquid crystalline phase transition in a synthetic lipid bilayer
Postreplication repair occurs if DNA replication Postreplication repair occurs if DNA replication
Video: Condensation and Hydrolysis Animation

For a complete list of videos, visit our video library