If a Banker Expects Interest Rates to Fall in the Future,her

question 95

Multiple Choice

If a banker expects interest rates to fall in the future,her best strategy for the present is

• A)to increase the duration of the bank's liabilities.
• B)to buy short-term bonds.
• C)to sell long-term certificates of deposit.
• D)to increase the duration of the bank's assets.

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Definitions:

WIC

A federal assistance program for healthcare and nutrition of low-income pregnant women, breastfeeding women, and children under the age of five.

Anemia

A condition characterized by a deficiency in the number or quality of red blood cells, leading to reduced oxygen transport in the body.

Breast-Feed

The act of feeding a baby with milk directly from the mother's breasts.

Canalization

A concept in developmental biology and genetics referring to the ability of an organism to produce the same phenotype despite variations in its genotype or environment.