Question: 30. How does an increase in stock volatility affect interest rates? A. Stock volatility has nothing to do with interest rates. B. Bonds are relatively
30. How does an increase in stock volatility affect interest rates? A. Stock volatility has nothing to do with interest rates. B. Bonds are relatively more risky compared to sto elatively more risky compared to stocks, decreasing bond demand thereby increasing interest rates. C. Bonds are relatively less risky compared to stocks, increasing bond demand decreasing interest rates
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