C181118 THI Yington BE BERG ON - OTH 3D SmartArt Forms NIE # QUESTION 32 Consider the market for a particular corporate bond from a stock perspecties Dioram for 12b.pdf The blue curve is the because At yield 2.59, the market displays As a result, the yield will inducing investors in corporate bonds to want a smaller quantity of corporate bonds. Investors wanting a smaller amount of bonds following a change in yield, as described above, is represented as a Assume the market is now at equilibrium. A trade war with the US has slowed down the company's business and the company wants to reduce its outstanding debt. In the diagram of demand and supply of bonds, this shock constitutes Assume the market is now at equilibrium. A trade war with the US has slowed down the company's business and the company wants to reduce its outstanding debt. In the diagram of demand and supply of bonds, this shock constitutes at equilibrium. This results in a The magnitude of the change in quantity at equilibrium is the magnitude of the original shock. This is due to the Windows Yield 2% X Quantity of corporate bonds (expressed in face value)