Category: Stocks

Which of the following statements is true ?

A. Long-term bonds tend to pay less interest than short-term bonds
B. Government bonds pay less interest than comparable corporate bounds
C. Investment funds are riskier than single stock purchases because the performances of so many different firms can affect the return of a mutual fund
D. A stock index is a directory used to locate information about selected stocks.

If Pakistani citizens become more thrifty we would expect ?

A. The supply of loanable funds in the Pakistan loanable funds market to shift to the right and the real interest rate to fall.
B. The demand for loanable funds in the Pakistan loanable funds market to shift to the right and the real interest rate to rise
C. The demand for loandable funds in the Pakistan loanable funds market to shift to the right and the real interest rate to fall
D. The supply of loandable funds in the Pakistan loanable funds market to shift to the right and the real interest rate to rise

An increase in the budget surplus ?

A. Shifts the supply of loanable funds to the left and increase the real interest rate
B. Shift the supply of loanable funds to the right and reduces the real interest rate.
C. Shifts the demand for loanable funds to the right and increases the real interest rate.
D. Shifts the demand for loanable funds to the left and reduces the real interest rate