13,The price of treasuries rises as interest rates fall, and the opposite is true when interest rates rise. Therefore, the best time to buy treasuries is when interest rates are relatively ______. (high/low)
举一反三
- In the late 1970s, U.S. nominal interest rates were high and real interest rates were low, but in the late 1990s, U.S. nominal interest rates were low and real interest rates were high.
- Call provisions will be exercised when interest rates _________ and bond values _________. A: rise; rise B: fall; rise C: rise; fall D: fall; fall
- Refinancing of a mortgage is recommended when: A: interest rates rise. B: interest rates fall. C: the escrow account balance declines. D: two or more points are required by the lender at the time of closing. E: the escrow account balance increases.
- Milton Friedman contends that it is entirely possible that when the money supply rises, interest rates may _________ if the _________ effect is more than offset by changes in income, the price level, and expected inflation. A: fall; liquidity B: fall; risk C: rise; liquidity D: rise; risk
- In actual practice, short-term interest rates are just as likely to fall as to rise; this is the major shortcoming of the ________