Holdingtheexpectedreturnonbondsconstant,adecreaseintheexpectedreturnonstockswould_____thedemandforbonds,shiftingthedemandcurvetothe_____.
A. decrease;left
B. decrease;right
C. increase;left
D. increase;right
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Asthepriceofabondfallsandtheexpectedreturn_____,bondsbecome_____attractivetoinvestors.
A. falls;less
B. falls;more
C. rises;less
D. rises;more
Asthepriceofabond_____andtheexpectedreturn_____,bondsbecomemoreattractivetoinvestorsandthequantitydemandedrises.
A. falls;rises
B. falls;falls
C. rises;rises
D. rises;falls
Ifinterestratesareexpectedtoriseinthefuture,thedemandforlong-termbonds_____andthedemandcurveshiftstothe_____.
A. rises;right
B. rises;left
C. falls;right
D. falls;left
Deflationcausesthe_____bondstoincrease,the_____bondstodecrease,and_____toincrease.
A. supplyof;demandfor;bondprices
B. supplyof;demandfor;interestrates
C. demandfor;supplyof;bondprices
D. demandfor;supplyof;interestrates