A speculator who feels strongly that short rates will be falling over the next few years might want to be a __________ payer in a swap contract; if he is wrong there is __________ downside risk
A) fixed-rate; no
B) fixed-rate; considerable
C) floating-rate; no
D) floating-rate; considerable
D
Economics
You might also like to view...
Refer to the table below. When output increases from 28 to 35 units, the marginal cost of the product is:
A. $4.44
B. $5.71
C. $6.00
D. $6.67
Economics
According to the principle of marginal productivity, if
A. the product price is less than MRP, the firm is using too little of the input. B. the price of an input rises, the quantity demanded of the input will increase. C. MRP is greater than product price, the firm should reduce the use of the input. D. price of the input equals MRP, the firm is maximizing profit.
Economics