As Default Risk Decreases,the Expected Return on Corporate Bonds ________,And

question 27

Multiple Choice

As default risk decreases,the expected return on corporate bonds ________,and the return becomes ________ uncertain,everything else held constant.

• A)increases;less
• B)increases;more
• C)decreases;less
• D)decreases;more

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Definitions:

Military Expansion

The growth and increase in size or scope of a country's armed forces or territorial reach.

Social Trap

A situation where a group or individual acts in a way that benefits them in the short term but ultimately leads to a situation that is damaging to all parties in the long term.

Collective Destruction

The act of a group causing harm or damage intentionally or unintentionally, often through a shared ideology or goal.

Reciprocity Norm

A social norm that expects individuals to respond to each other in kind, rewarding kind actions with kindness.