Which of the following accurately describes possible positions taken by hedgers?
A) may take a short position in the futures market to offset a long position in the spot market
B) may take a short position in the spot market to offset a long position in the futures market
C) may take a long position in the spot market to offset a short position in the futures market
D) may take a long position in the futures market to offset a long position in the spot market
D
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An autonomous monetary policy easing temporarily ________ real interest rates and ________ aggregate output in the short run, but in the long run real interest rates and aggregate output return to the equilibrium levels
A) reduces; raises B) reduces; lowers C) increases; lowers D) increases; raises
The due diligence process is
A) the process by which a firm chooses an investment bank. B) when an investment bank researches a firm's value. C) how an investment bank underwrites large issues. D) the review of a prospectus by the SEC.