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Question
An equal decrease in all bond interest rates
A) increases the price of a five-year bond more than the price of a ten-year bond.
B) increases the price of a ten-year bond more than the price of a five-year bond.
C) decreases the price of a five-year bond more than the price of a ten-year bond.
D) decreases the price of a ten-year bond more than the price of a five-year bond.
Answer
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Related questions
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The process in which people take their funds out of the banking system seeking higher-yielding securities is called
A) capital mobility.
B) loophole mining.
C) disintermediation.
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B) as a subsidy on deposits.
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D) as a tax on loans.
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B) a better method for the purchase of long-term savings products.
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The agreement to provide a standardized commodity to a buyer on a specific date at a specific future price is
A) a put option.
B) a call option.
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D) a mortgage-backed security.
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A) could choose; were required
B) could choose; were given the option
C) were required, could choose
D) were required; were required
Q:
Probably the most significant factor explaining the drastic drop in the number of bank failures since the Great Depression has been
A) the creation of the FDIC.
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Q:
The Federal Reserve Act of 1913 required that
A) state banks be subject to the same regulations as national banks.
B) national banks establish branches in the cities containing Federal Reserve banks.
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D) state banks could not join the Federal Reserve System.
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The National Bank Act of 1863, and subsequent amendments to it,
A) created a banking system of state-chartered banks.
B) established the Office of the Comptroller of the Currency.
C) broadened the regulatory powers of the Federal Reserve.
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The belief that bank failures were regularly caused by fraud or the lack of sufficient bank capital explains, in part, the passage of
A) the National Bank Charter Amendments of 1918.
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Q:
Currency circulated by banks that could be redeemed for gold was called
A) junk bonds.
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Q:
The Second Bank of the United States was denied a new charter by
A) President Andrew Jackson.
B) Vice President John Calhoun.
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Q:
Because of the abuses by state banks and the clear need for a central bank to help the federal government raise funds during the War of 1812, Congress created the
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Q:
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A) Bank of United States was chartered in New York in 1801.
B) Bank of North America was chartered in Philadelphia in 1782.
C) Bank of United States was chartered in Philadelphia in 1801.
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________ within the U.S. can make loans to foreigners but cannot make loans to domestic residents.
A) Edge Act corporations
B) International Banking Facilities
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B) Latin America, the Middle East, the Caribbean, and London.
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B) state-chartered S&Ls
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Q:
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A) nonnegotiable; secondary
B) nonnegotiable; primary
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Q:
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Q:
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Q:
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A) basic gap analysis.
B) the maturity bucket approach to gap analysis.
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Q:
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