Question: Question 16 (1 point) ____ interest rates are determined in the bond market, while the Federal Reserve determines ___ interest rates. Question 16 options: Short

Question 16 (1 point)

____ interest rates are determined in the bond market, while the Federal Reserve determines ___ interest rates.

Question 16 options:

Short term, short term

Long term, short term

Short term, long term

Long term, long term

Question 17 (1 point)

In one sense ________ appears surprising since it means that the bank is not ________ its portfolio of loans and thus is exposing itself to more risk.

Question 17 options:

A)

screening; rationing

B)

credit rationing; diversifying

C)

specialization in lending; diversifying

D)

specialization in lending; rationing

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