If Bond Prices Fall

question 130

Multiple Choice

If bond prices fall,

• A) interest rates rise, which in turn, discourage investment.
• B) interest rates fall, which in turn, discourage investment.
• C) interest rates rise, which in turn, stimulate investment.
• D) interest rates fall, which in turn, stimulate investment.

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Definitions:

Ventral Body Cavity

A large body cavity in humans and many animals that houses organs in the chest and abdomen, separated by the diaphragm.

Dorsal Body Cavity

A fluid-filled space within the body that houses the central nervous system, including the brain and spinal cord.

Cranial Cavity

The space within the skull that houses the brain, lined by the meninges and protective in function.

Thigh

The area of the human leg between the hip and the knee.