Rising Interest-Rate Risk

question 128

Multiple Choice

Rising interest-rate risk

• A)increased the cost of financial innovation.
• B)increased the demand for financial innovation.
• C)reduced the cost of financial innovation.
• D)reduced the demand for financial innovation.

---

Definitions:

Projection Bias

The tendency to mistakenly assume that others share one's current thoughts, feelings, or attitudes.

Randomness Error

An error that occurs when there is no discernible pattern or cause in the mistake or variability.

Intuition

An unconscious process of making decisions based on imagination and possibilities.

Intuition

A process of understanding or knowing something immediately, based on a person's feelings rather than facts or evidence.