In the Beginning of 2007,the Interest Rate Paid on the National

question 58

Essay

In the beginning of 2007,the interest rate paid on the national debt was 5%.In 2010 it was only 2%.Explain why the interest rate on the national debt fell so much between 2007 and 2010 even as the national debt increased dramatically.Do you expect it to continue to fall? Explain why or why not.

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Definitions:

Defendant-Tippee

A term used in securities law referring to a person who receives non-public, material information from an insider (the tipper) and then trades securities based on that information.

Criminally Liable

Being legally responsible for a crime, subject to criminal prosecution, and potentially, punishment.

Mens Rea

A legal principle that considers the intent of the mind to commit a crime; essential for establishing criminal liability.

Independent Director Control

A theory of corporate control that states that the best way to make certain that corporate decisions are made in the best interests of the corporation is to make sure that the decision makers themselves are not affected by the decisions.