Business, 08.11.2019 18:31 davistakeisha95

In early 2014, the united states government had more than $17 trillion in debt (approximately $55,000 for every u. s. citizen) outstanding in the form of treasury bills, notes, and bonds. from time to time, the treasury changes the mix of securities that it issues to finance government debt, issuing more bills than bonds or vice versa. with short-term interest rates near 0 percent in early 2014, suppose the treasury decided to replace maturing notes and bonds by issuing new treasury bills, thus greatly shortening the average maturity of u. s. debt outstanding. discuss the pros and cons of this strategy.

Answers: 2

Show answers

Another question on Business

Business, 21.06.2019 22:40

wilson's has 10,000 shares of common stock outstanding at a market price of $35 a share. the firm also has a bond issue outstanding with a total face value of $250,000 which is selling for 102 percent of face value. the cost of equity is 11 percent while the preminustax cost of debt is 8 percent. the firm has a beta of 1.1 and a tax rate of 34 percent. what is wilson's weighted average cost of capital?

Answers: 3

Answer

Business, 22.06.2019 13:40

Determine if the following statements are true or false. an increase in government spending can crowd out private investment. an improvement in the budget balance increases the demand for financial capital. an increase in private consumption may crowd out private investment. lower interest rates can lead to private investment being crowded out. a trade balance in sur+ increases the supply of financial capital. if private savings is equal to private investment, then there is neither a budget sur+ nor a budget deficit.

Answers: 1

Answer

Business, 22.06.2019 20:50

Which of the following is an example of a monetary policy? a. the government requires credit card companies to protect customers' privacy. b. the government restricts the amount of money that banks can lend. c. the government lowers taxes and increases spending. d. the government pays for repairing damage from a natural disaster.

Answers: 1

Answer

Business, 22.06.2019 21:50

Search engines generate revenue through pay-per-click (each time a user clicks a link to a retailer’s website); pay-per-call (each time a user clicks a link that takes the user to an online agent waiting for a call); or pay-per-conversion (each time a website visitor is converted to a customer)

Answers: 3

Answer

You know the right answer?

In early 2014, the united states government had more than $17 trillion in debt (approximately $55,00...

Questions