Unintended consequences of zero-interest rate policy

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1. Should you invest 2000 today in exchange for 10,000 in 25 years? What would be a main concern? Would your answer change based on who would be re-paying this debt?

2. Airlines are an example of an industry that has high operating leverage. What do you think is the reason for this?

3. Write a rubric on “The Unintended Consequences of a ZIRP (Zero-Interest Rate Policy)”

4. Why might companies focus on same-store sales rather than total sales?

Reference no: EM131342057

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