The Additional Incentive That the Purchaser of a Treasury Security

question 70

Multiple Choice

The additional incentive that the purchaser of a Treasury security requires to buy a long-term security rather than a short-term security is called the

• A)risk premium.
• B)term premium.
• C)tax premium.
• D)market premium.

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Definitions:

Competitive Advantage

The unique attributes or capabilities that allow an organization to outperform its competitors, potentially leading to greater market share and profitability.

Recessionary Period

A phase in the economic cycle where there is a slowdown in economic activity, marked by reduced spending and increased unemployment.

Employee Layoffs

The act of temporarily or permanently terminating a group of employees from their jobs, often due to economic downturns, business restructuring, or organizational changes.

Inputs

The resources, materials, and effort required to produce goods or services in any organizational or production process.