Question: PLEASE answer all my questions or do not answer any please. If the yield curve is inverted, like it is today: investors expect interest rates
PLEASE answer all my questions or do not answer any please.
If the yield curve is inverted, like it is today:
| investors expect interest rates to decrease in the future. | ||
| it is a sign that the economy is poised to improve. | ||
| it implies that inflation is rising. | ||
| investors expect interest rates to increase in the future |
In Inside the Meltdown, Ben Bernanke, Chairman of the Federal Reserve, wanted to ___________________ as he was more worried about _________________ than _____________________.
| bailout the banks; systemic risk; moral hazard | ||
| bailout the banks; moral hazard; systemic risk | ||
| let the market discipline the banks; moral hazard; systemic risk | ||
| let the market discipline the banks; systemic risk; moral hazard |
If China decided to stop buying Treasury securities from the U.S., interest rates in the U.S. would decrease, everything else equal.
True
False
If you wanted to profit from a potential crash in the housing market, like the guys in The Big Short did, you would:
| buy Treasury bond futures | ||
| buy credit default swaps | ||
| sell credit default swaps | ||
| sell Treasury bond futures |
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