Question
A dealer forecasts that the discount rate on a 60-day bill will be 5.10%. The current discount rate on a 90-day bill is 5.30%. What
A dealer forecasts that the discount rate on a 60-day bill will be 5.10%. The current discount rate on a 90-day bill is 5.30%. What is the highest 30-day repo rate the dealer can afford to pay and still expect to break even on a repo? Explain 
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Misunderstanding Financial Crises Why We Donot See Them Coming
Authors: Gary B. Gorton
1st Edition
019992290X, 0199986886, 9780199922901, 9780199986880
