Suppose the yield on government bonds rises. This should cause __________ in the discount factor in the stock price valuation formula and __________ in stock prices

A) a fall; a rise
B) a rise; a fall
C) a fall; a fall
D) no change; no change

B

Economics

You might also like to view...

An example of a transfer payment is

A) a welfare payment. B) a paycheck for a member of the National Guard. C) a purchase of a new bridge in Alaska. D) a teacher's paycheck.

Economics

Empirical evidence seems to suggest that there is _____ between education and education

a. a strongly positive link b. a weakly positive link c. no link d. a weakly negative link

Economics