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    Principles of Economics Study Set 11
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    Exam 23: Financial Markets and Securities
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    Explain,without Writing Any Equations,how the Interest Rate Paid by a Bond
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Explain,without Writing Any Equations,how the Interest Rate Paid by a Bond

Question 96

Question 96

Essay

Explain,without writing any equations,how the interest rate paid by a bond is set by the bond's price.

Correct Answer:

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The bond is worth a fixed amount of mone...

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