« previous next »

Author Question: The rates on Treasury bills in the United States have been lower on average since the year 2000 than ... (Read 101 times)

mia

  • Hero Member
  • *****
  • Posts: 564
on: Jul 10, 2018
The rates on Treasury bills in the United States have been lower on average since the year 2000 than in the 50 years from 1950-1999.
 
  Indicate whether the statement is true or false.

Question 2

Which of the four interest rate components had the smallest average percentage in the period from 1950-1999?
 
  A) Maturity premium
  B) Real rate
  C) Inflation premium
  D) Default premium


Ahernandez18

  • Sr. Member
  • ****
  • Posts: 361
Reply #1 on: Jul 10, 2018
Answer to Question 1

Answer: TRUE
Explanation: 1.73 vs 5.23

Answer to Question 2

Answer: D
Explanation: D) From 1950 to 1999, inflation averaged 4.05, the real rate averaged 1.18, the maturity premium averaged 1.28 (for twenty-year maturity differences), and the default premium averaged 0.49 (for AAA over government bonds).


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

mia

  • Hero Member
  • *****
  • Posts: 564
Reply #2 on: Jul 10, 2018
Thank you :)


Ahernandez18

  • Sr. Member
  • ****
  • Posts: 361
Reply #3 on: Jul 10, 2018
Happy to help you


« previous next »
 

Did you know?

Signs and symptoms of a drug overdose include losing consciousness, fever or sweating, breathing problems, abnormal pulse, and changes in skin color.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

Your heart beats over 36 million times a year.

Did you know?

About 600,000 particles of skin are shed every hour by each human. If you live to age 70 years, you have shed 105 pounds of dead skin.

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Changes in boreal forest composition along a chronosequence in Quebec. Dates refer to the year of th Changes in boreal forest composition along a chronosequence in Quebec. Dates refer to the year of th
Uranus revolves around the Sun once every 84 Earth years. Its average distance from the Sun is rough Uranus revolves around the Sun once every 84 Earth years. Its average distance from the Sun is rough
A horizontally opposed engine design helps to lower the vehicle’s center of gravity. A horizontally opposed engine design helps to lower the vehicle’s center of gravity.
Jawad makes semi-annual contributions of $2000 starting on his 27th birthday. How much will he ... Jawad makes semi-annual contributions of $2000 starting on his 27th birthday. How much will he ...
A very thin uniform rod, 2.40 m long and of weight 135 N, has a frictionless hinge at its lower ... A very thin uniform rod, 2.40 m long and of weight 135 N, has a frictionless hinge at its lower ...
Video: Introduction to Spirometry

For a complete list of videos, visit our video library