Question: 1- When the default risk on corporate bonds increases, other things equal, the demand curve for corporate bonds shifts to the __________ and the demand
1-
When the default risk on corporate bonds increases, other things equal, the demand curve for corporate bonds shifts to the __________ and the demand curve for US Treasury bonds shifts to the _____.
Group of answer choices:
- Right; Left
- Right; Right
- Left; Right
- Left; Left
2-
In a recession when income and wealth are falling, the demand for bonds _________ and the demand curve shifts to the ______.
Group of answer choices
- falls; right
- falls; left
- increases; left
- increases; right
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
