BNAD 301 Test 2 with Questions and Answers

BNAD 301 Test 2 with Questions and Answers The best time to buy bonds is when (choose the one best answer): A). Bond yields are historically low. B). Bond yields are historically high. C). You believe that bond yields will be generally rising. D). You believe that bond yields will be generally falling. ANSWER D). You believe that bond yields will be generally falling. If there is excess demand in a market, then which things do we normally expect to happen, to bring the market into equilibrium? (Check all that apply.) A). The supply curve will shift left. B). The demand curve will shift right. C). The demand curve will shift left. D). Market price will fall. E). Market price will rise. F). The supply curve will shift right. ANSWER E). Market price will rise. If there is excess supply in a market, then which things do we normally expect to happen, to bring the market into equilibrium? (Check all that apply.) A). Market price will rise. B). The supply curve will shift left.