Author Question: As a result of the global financial crisis in 2008, _____. a. U.S. interest rates fell and the cost ... (Read 37 times)

formula1 · **on:** Jun 30, 2018

As a result of the global financial crisis in 2008, _____.
a. U.S. interest rates fell and the cost of servicing U.S. debt decreased
b. U.S. citizens increased their purchase of foreign securities
c. U.S. chronic deficits increased and debt service costs overwhelmed the budget
d. debt issued by U.S. government entities was judged to be the safest in the world
e. there was downgrading of the nation's credit risk by the chief credit-rating agency in 2011

Question 2

The higher the expected inflation, _____.
a. the higher the nominal rate of interest that lenders require and that borrowers are willing to pay
b. the lower the nominal rate of interest that lenders require and that borrowers are willing to pay
c. the higher the nominal rate of interest that lenders require and the lower the nominal rate of interest that borrowers are willing to pay
d. the higher the real interest rate that lenders require
e. the higher the real interest rate that borrowers are willing to pay