What happens to the market value of the bank's liabilities if the interest rate falls by 2
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What happens to the market value of the bank's liabilities if the interest rate falls by 2 percentage points?
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When the interest rate falls by 2 percentage points the market value of a banks liabilities typically increases This is due to the inverse relationshi...View the full answer
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Related Book For
The Economics Of Money Banking And Financial Markets
ISBN: 9780321584717
4th Canadian Edition
Authors: Frederic S. Mishkin, Apostolos Serletis
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