Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Business Economics Expert

How does the emergence of interest-rate risk help explain financial? innovation?

A. It decreases the demand for new financial innovation because these products are often risky.

B. It allows financial institutions to avoid the limits set on the interest rate paid on time deposits.

C. It increases the demand for financial products and services that could reduce that risk.

D. It increases profits for financial institutions and thus increases the supply of new financial instruments.

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M91725478

Have any Question?


Related Questions in Business Economics

I need some help trying to understand this statistics

I need some help trying to understand this Statistics question For a normal distribution, identify the  z -score location that would separate the distribution into two sections, as determined by the following percentages ...

A 600 investment has the following payoff frequency a

A $600 investment has the following payoff frequency: a quarter of the time it will be $0; three quarters of the time it will pay off $1000. Its standard deviation and value at risk respectively are(show work).

We are looking at the question to examine the relationship

We are looking at the question to examine the relationship between gender and weapon of choice in domestic assault. Question: Does female choose weapon differently than male during domestic assault ? Male Female Totals G ...

The probability that a married man watches a certain

The probability that a married man watches a certain television show is 0.4 and the probability that a married woman watches the show is 0.5. The probability that a man watches the show, given that his wife does, is 0.7. ...

According to a study conducted by the department of

According to a study conducted by the Department of Pediatrics at the University of California, San Francisco, children who are injured two or more times tend to sustain these injuries during a relatively limited time, u ...

A monopolist faces a market demand curve given by py 100 y

A monopolist faces a market demand curve given by P(y) = 100 y. Its cost function is c(y) = y 2 + 20. (a) Find its profit - maximizing output level y and the market price p(y ). (b) Calculate its total revenue, total cos ...

The cost of a starbucks grande caffe latte varies from city

The cost of a Starbucks Grande Caffe Latte varies from city to city. However, the variation among prices remains steady with a standard deviation of $0.26. A research was done to test the claim that the mean cost of a St ...

Each of 30 teams in a league has a demand for generic

Each of 30 teams in a league has a demand for generic advertising of Q = 260 - 4P. Price is measured in thousands of dollars. Ads cost $510,000 each. How many ads will the teams want to purchase as a group?

Link changes in unemployment inflation wages and gdp to one

Link changes in unemployment, inflation, wages, and GDP to one another and how they impacted each other during periods of economic decline (recessions) and periods of economic growth (expansion) over the past 10 years.

What are your thoughts on grant writing and grant money

What are your thoughts on grant writing and grant money toward purchase? How essential is this practice when looking at gaining money toward purchases?

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As