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Author Question: The phenomenon that some consumers pay a higher interest rate when they borrow than the interest ... (Read 46 times)

cookcarl

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on: Jun 30, 2018
The phenomenon that some consumers pay a higher interest rate when they borrow than the interest rate they receive when they lend is best described as an example of
 
  A) irrational behavior.
  B) a credit market imperfection.
  C) a vast banking conspiracy.
  D) the burden of public debt.

Question 2

Instruments which provide payments to holders of bonds in the event of default are known as ________.
 
  A) collateralized bond obligations
  B) tertiary payment devices
  C) credit default swaps
  D) mortgage-backed securities


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IAPPLET

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Reply #1 on: Jun 30, 2018
Answer to Question 1

B

Answer to Question 2

C


cookcarl

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Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it

bdobbins

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Reply 3 on: Yesterday
:D TYSM

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