After a Treasury Security Is Sold for the First Time

question 104

Multiple Choice

After a treasury security is sold for the first time,

• A) it can no longer be sold.
• B) it must be sold to someone in a secondary market before it hits its maturity date.
• C) it loses its initial value.
• D) anyone can buy it in the large and active secondary market for U.S.Treasury securities.
• E) only large financial firms can buy it through auctions.

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Definitions:

Dependent Variable

In experimental and statistical research, the variable being tested and measured, which is expected to change under the influence of the independent variable.

Artificial Settings

Environments created or manipulated by researchers to study behavior in controlled conditions, which may not perfectly mimic real-life situations.

Experimental Method

A research methodology involving the manipulation of variables to determine cause-and-effect relationships.

Cause-and-effect Conclusions

Deductive reasoning that connects an action or event (the cause) to outcomes or consequences (the effect), establishing a causal relationship.