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

Author Question: Suppose individuals now believe that there will be an increase in the future expected interest rate. ... (Read 116 times)

Mimi

  • Hero Member
  • *****
  • Posts: 542
on: Jun 30, 2018
Suppose individuals now believe that there will be an increase in the future expected interest rate. This increase in the expected future interest rate will cause which of the following to occur in the current period?
 
  A) an upward shift of the LM curve
  B) a leftward shift of the IS curve
  C) the IS curve to become flatter
  D) the LM curve to become steeper
  E) none of the above

Question 2

Bonds with relatively high risk of default are called
 
  A) Brady bonds.
  B) junk bonds.
  C) zero coupon bonds.
  D) investment grade bonds.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

vish98

  • Sr. Member
  • ****
  • Posts: 326
Reply #1 on: Jun 30, 2018
Answer to Question 1

B

Answer to Question 2

B


Mimi

  • Member
  • Posts: 542
Reply 2 on: Jun 30, 2018
:D TYSM

miss.ashley

  • Member
  • Posts: 371
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Your skin wrinkles if you stay in the bathtub a long time because the outermost layer of skin (which consists of dead keratin) swells when it absorbs water. It is tightly attached to the skin below it, so it compensates for the increased area by wrinkling. This happens to the hands and feet because they have the thickest layer of dead keratin cells.

Did you know?

No drugs are available to relieve parathyroid disease. Parathyroid disease is caused by a parathyroid tumor, and it needs to be removed by surgery.

Did you know?

GI conditions that will keep you out of the U.S. armed services include ulcers, varices, fistulas, esophagitis, gastritis, congenital abnormalities, inflammatory bowel disease, enteritis, colitis, proctitis, duodenal diverticula, malabsorption syndromes, hepatitis, cirrhosis, cysts, abscesses, pancreatitis, polyps, certain hemorrhoids, splenomegaly, hernias, recent abdominal surgery, GI bypass or stomach stapling, and artificial GI openings.

Did you know?

The most common childhood diseases include croup, chickenpox, ear infections, flu, pneumonia, ringworm, respiratory syncytial virus, scabies, head lice, and asthma.

Did you know?

The immune system needs 9.5 hours of sleep in total darkness to recharge completely.

The role of leptin in regulating appetite and metabolic rate. The role of leptin in regulating appetite and metabolic rate.
Primary production increases with an increase in total phosphorus concentration. Primary production increases with an increase in total phosphorus concentration.
Factors Affecting the Environmental Lapse Rate (ELR): Heating or Cooling of the Lower Atmosphere Factors Affecting the Environmental Lapse Rate (ELR): Heating or Cooling of the Lower Atmosphere
Fluidization - Reaction Rate Chart Fluidization - Reaction Rate Chart
Population growth rate % Population growth rate %
The level of future emissions is closely linked to the rate of population growth The level of future emissions is closely linked to the rate of population growth
Video: Mechanisms for chromosome movement Animation

For a complete list of videos, visit our video library