Other Things Being Equal,an Increase in the Default Risk of Corporate

question 7

Multiple Choice

Other things being equal,an increase in the default risk of corporate bonds shifts the demand curve for corporate bonds to the ________ and the demand curve for Treasury bonds to the ________.

• A)right;right
• B)right;left
• C)left;right
• D)left;left

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Definitions:

Motivation

The process by which a person’s desires and values influence his or her behavior.

Self-Efficacy Theory

A concept in psychology that refers to an individual's belief in their capacity to execute behaviors necessary to produce specific performance attainments.

Confidence

The belief in one's abilities, qualities, and judgment, often leading to a sense of self-assurance.

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors, driving individuals to pursue and achieve goals.