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Why are investors willing to buy German government bonds with a negative interest rate? A . They believed that there was no chance the German
Why are investors willing to buy German government bonds with a negative interest rate?
A
They believed that there was no chance the German government would default on its bonds, while the default risk on corporate bonds and bank deposits was high because interest rates were so low.
B
Concerns over the stability of the European Central Bank meant that German bonds were more attractive to investors.
C
They believed that there was no chance the German government would default on its bonds, while the default risk on corporate bonds and bank deposits was high because interest rates were so high.
D
Other countries were defaulting on their bonds, while Germany was not.
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