State and Local Governments Pay a Low Rate of Interest

question 130

Multiple Choice

State and local governments pay a low rate of interest because:​

• A)the risk of default is high.
• B)the risk of default is low.
• C)lenders are always willing to lend money to governments rather than financial institutions.
• D)lenders focus on their after-tax rate of interest.
• E)the administration costs of their loans are very low.

---

Definitions:

Adolescents

Young people in the transitional stage of physical and psychological development that generally occurs during the period from puberty to legal adulthood.

Alcohol Consumption

The act of drinking beverages containing ethanol, which can range from light to heavy drinking, and has various health and social implications.

High-density Lipoprotein

The "good" cholesterol that helps remove other forms of cholesterol from the bloodstream, thereby reducing heart disease risk.

Aggression

A range of behaviors that can result in both physical and psychological harm to oneself, others, or objects in the environment.