Use the demand-supply model for the bond market

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Reference no: EM131245353

1. Use the demand-supply model for the bond market to answer the questions:

what happens to the equilibrium price of bonds and which curve shifts which direction

if the stock market collapses?

2. what happens to the equilibrium price of bonds and which curve shifts which direction

if you read the following statement in the newspaper: "Treasury prices fell for the sixth time in seven sessions as new issues of the bonds appear on the market".

3. what happens to the equilibrium price of bonds and which curve shifts which way

if the federal government's deficit increases?

4. what happens to the equilibrium price of bonds and which curve shifts which way

if you read in the newspapers: "Treasury prices are rising on expected future rate cut"?

Reference no: EM131245353

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