The Bond Demand Curve Slopes Down Because

question 42

Multiple Choice

The bond demand curve slopes down because

• A)interest rates decline as bond prices decline.
• B)when bond prices are low, inflation is low.
• C)the lender is willing and able to purchase more bonds when the price of the bond is low.
• D)the borrower is willing and able to purchase more bonds when the price of the bond is low.

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