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Standard and Poor's ratings of investment grade bonds are between BBB and B AAA and BB AAA and B AAA and BBB Veah Khursheed: Attempt 1 Its acceptance by businesses and households in the United States in exchang for goods and services. Question 45 (1 point) Political Business Cycle None of the answers are correct O is the theory that the U.S. president will urge Congress to raise taxes to stimulate the economy prior to an election O is the theory that the U.S. president will urge Congress to lower interest ratest stimulate the economy prior to an election is the theory that policy makers will urge the Fed to lower interest rates to stimulate the economy prior to an election Question 41 (1 point) commercial banks that are members of the Federal Reserve Bank get paid dividends by the Fed true false Question 42 (1 point) Saved N P Q o D 0: FE % & 25 S 4. 5 6. 7 8 9 O Investors use U.S. Treasury bonds are as a benchmark to determine the default risk on a bond True False Question 17 (1 point) On a simple loan, the borrower pays both principal and interest on the loan only on the maturity date true false more rapid pre-payment of mortgages Question 11 (1 point) The role of money as a unit of account, refers to the use of checks as money the use of money for transactions purposes the use of money as a measure of value the use of money for investment purposes W a $ & % 5 4 6 7 8 9 The expectations theory of the term structure of interest rates explains that 90 interest rates on a long term bonds equal to the average of the expected long- term interest rates on the bonds 93 interest rates on a long term bonds equal to the average of the expected short- term interest rates on the bonds 96 none of the answers are correct 99 interest rates on a long term bonds equal to the average bond prices Question 6 (1 point) Saved