According to Segmented Markets Theory, If Investors Have Mostly Short-Term

question 22

Multiple Choice

According to segmented markets theory, if investors have mostly short-term funds available and borrowers want long-term funds, there would be ____ pressure on the supply of short-term funds provided by investors and ____ pressure on the yield of long-term securities.

• A)upward; upward
• B)downward; downward
• C)upward; downward
• D)downward; upward

---

Definitions:

Outsourcing

The business practice of hiring a party outside a company to perform services and create goods that traditionally were performed in-house by the company's own employees.

Customer Service

The support and assistance provided by a company to those people who buy or use its products or services.

Intellectual Capabilities

The cognitive abilities and skills of an individual to perform tasks, solve problems, and create value through intellectual effort and creativity.

Business Workforce

The group of employees who work together to achieve the business goals and objectives.