Considering interest-rate swaps, the swap spread is:

A. another name for the swap rate.
B. the difference between the benchmark rate and the swap rate.
C. a measure of the time value of the swap.
D. the benchmark rate plus the swap rate.

Answer: B

Economics

You might also like to view...

Assuming all excess reserves are loaned out, if the reserve ratio is 1 percent, the money multiplier will be equal to

A) 1. B) 10. C) 11. D) 100.

Economics

The percent increase in the CPI from one year to the next is a measure of the

A) real interest rate. B) inflation rate. C) GDP deflator. D) unemployment rate.

Economics