Suppose That Savers Become Much More Willing to Purchase a Certain

question 39

Multiple Choice

Suppose that savers become much more willing to purchase a certain type of municipal bond. The result will be that the bond's price will

• A)fall relative to the price of U.S. Treasury securities but rise relative to the price of corporate bonds.
• B)rise relative to the price of U.S. Treasury securities but fall relative to the price of corporate bonds.
• C)rise relative to the prices of U.S. Treasury securities and corporate bonds.
• D)fall relative to the prices of U.S. Treasury securities and corporate bonds.

---

Definitions:

Obsessive-compulsive Disorder

A mental disorder marked by unwanted and intrusive thoughts (obsessions) and repetitive behaviors or mental acts (compulsions) aimed at reducing anxiety.

Psychodynamic Theorists

Scholars and clinicians who focus on the psychological forces underlying human behavior, feelings, and emotions, and how they may relate to early experience.

Defense Mechanisms

Psychological strategies employed by individuals unconsciously to cope with reality and maintain self-image by reducing anxiety arising from unacceptable thoughts or feelings.

Free Associations

A psychoanalytic technique where patients express their thoughts freely, allowing therapists to uncover unconscious desires or feelings.