ECN 509 Midterm Test (Questions and Answers) {Comprehensive Exam Review} Verified Answers [2026]
TERM
Bonds that are sold in a foreign country and are
denominated in the country’s currency inwhich they
are sold are known as ________.
foreign bonds
TERM
When the interest rate on a bond is ________ the
equilibrium interest rate, in the bond market there is
excess ________ and the interest rate will
________.
above; demand; fall
TERM
A credit market instrument that provides the
borrower with an amount of funds that must
5/31/2026 Page 1
, ECN 509 Midterm Test (Questions and Answers) {Comprehensive Exam Review} Verified Answers [2026]
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simple loan
TERM
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A credit card
TERM
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are not substitutes at all
TERM
5/31/2026 Page 2
TERM
Bonds that are sold in a foreign country and are
denominated in the country’s currency inwhich they
are sold are known as ________.
foreign bonds
TERM
When the interest rate on a bond is ________ the
equilibrium interest rate, in the bond market there is
excess ________ and the interest rate will
________.
above; demand; fall
TERM
A credit market instrument that provides the
borrower with an amount of funds that must
5/31/2026 Page 1
, ECN 509 Midterm Test (Questions and Answers) {Comprehensive Exam Review} Verified Answers [2026]
CHhHe;PFç;kçkOHçZ;klhPktçF;kHç;Y][NçrPkOç;[çP[kHhHik
e;tZH[kçPiçX[]r[ç;iç;çÒÒÒÒÒÒÒÒ¯
simple loan
TERM
6OPDOç]MçkOHçM]YY]rP[NçPiç[]kç;çM]hZç]MçHÎZ][Ht¶
A credit card
TERM
çXHtç;iilZekP][çP[çkOHçiHNZH[kHFçZ;hXHkiçkOH]ht
PiçkO;kçC][Fiç]MçFPxHhH[kçZ;klhPkPHiçÒÒÒÒÒÒÒÒ¯
are not substitutes at all
TERM
5/31/2026 Page 2
