Taylor originally picked ____ as the equilibrium real federal funds rate, which was equal to its historical average. Select one: a. 1 percent b. 2 percent c. 3 percent d. 4 percent
1. Taylor originally picked ____ as the equilibrium real federal funds rate, which was equal to its historical average.
Select one: a. 1 percent b. 2 percent c. 3 percent d. 4 percent
2.
Open-market operations are purchases and sales of
Select one:
a. government securities in the secondary market.
b. government securities in the primary market.
c. corporate bonds in the secondary market.
d. corporate bonds in the primary market.
3.
A covenant is a
Select one:
a. legally enforced part of a loan contract that requires the borrower to act in a certain way or to use the borrowed funds for a particular purpose.
b. net worth requirement.
c. law preventing banks from charging a very high interest rate, above 18 percent in most states.
d. type of debt security that is backed by a financial intermediary.
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