Answer:
a. Increase the direct costs of the state's debt.
Explanation:
When a bond's rating is downgraded is a signal to the investors that investing in the bond now is riskier than it was prior to the rating downgrade, hence, a perceived higher risk using the risk/return relationship means that the bond issue would have to offer a higher return to entice the investors to invest in the bonds.
As a result, the higher required rate of return translates into a higher direct cost of the state's debt since their interest rate offered has increased
Answer:
Was higher.
Explanation:
We have to use a little bit of logci to answer this question, we just have to keep in mind that Aggregate expenditure is the cost of all of the products and services offered in a nation, so ig the business inventories, which are basically the inventories that the stores have, if this go down it means that previously produced goods and services are being sold, this increases the aggregate expenditure, and Gross domestic product is semi-stable, so aggreagate expenditure will be higher than GDP.
Answer:
Oligopoly
Explanation:
Oligopoly - it is referred to as a marketing structure in which there are few suppliers in the market and every supplier has its own unique function and unique control over the market.
In the given question, cleftell Inc is also one of that firm which has its own control over the market that is why government back them so that they will supply the coal in discounted rate as before
Answer:
The correct answer would be option C, The risk is diversified with a mutual Fund.
Explanation:
Mutual funds is a pool of funds from different people. This pool of fund is invested in different securities. These securities can be stocks, bonds, treasury bills, etc. In this way the risk is diversified. When you invest money with the money of other people, the pool of money or funds will minimize the risk associated with investing a single person's money in any security. Secondly, the mutual funds are managed by professionals who are expert in the field of managing funds. They better know when and how much funds to liquidate and at what time.
