1.6. In each of the three cases, which bond will usually pay a higher interest rate? a....

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1.6. In each of the three cases, which bond will usually pay a higher interest rate?

a. A bond rated AAA, or a bond rated BBB?

b. A U.S. government bond, or a General Motors bond?

c. A Citibank bond that gets repaid in 30 years or a Citibank bond that gets repaid in 1 year?

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Modern Principles Macroeconomics

ISBN: 124428

2nd Edition

Authors: Tyler Cowen ,Alex Tabarrok

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