Pergunta $42$

pts

$$ Bonus Question: The score will be added after the exam period, $>>$

Which of the following statements is CORRECT?

In a typical domestic lending boom, almost all of the amount borrowed is dedicated toward investments to bring about substantial future gains.

Adding foreign financial assets to an investment portfolio raises the riskiness of the entire portfolio of investments.

Small open economies are probably more vulnerable to contagion than large and relatively closed economies.

$$ A borrower defaults when the borrower seeks to refinance the debt at a lower interest rate.