The Net Stable Funding Ratio Is the Ratio of ________

question 89

Multiple Choice

The net stable funding ratio is the ratio of ________ and ideally should be relatively ________.

• A) the percentage of long-term to total funding; low
• B) the percentage of long-term to total funding; high
• C) the percentage of short-term to total funding; low
• D) the percentage of short-term to total funding; high

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Definitions:

Vertical Equity

A principle in taxation that suggests taxpayers with a greater ability to pay should contribute more in taxes.

Ronald Reagan

The 40th President of the United States, serving from 1981 to 1989, known for his economic policies known as "Reaganomics".

Marginal Tax Rate

The rate at which the last dollar of income is taxed, indicating the proportion of any additional dollar of income that will be taken as tax.

Lump-Sum Tax

A tax that is a fixed amount, not dependent on the taxpayer's income level or assets' value.