Interest rates a 2-year treasury security currently earns 5.25 percent. over the next two years, the real interest rate is expected to be 3.00 percent per year and the inflation premium is expected to be 2.00 percent per year. what is the maturity risk premium on the 2-year treasury security
(1) Plebiscite - the direct vote of all the members of an electorate on an important public question such as a change in the constitution.
(2) A free economic system is the only means to engender national feeling.
(3) Yes, the writer in favour of giving equal rights to women.
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A fall in interest rates increases the amount of money people wish to hold, while a rise in interest rates decreases that amount. A change in prices is another way to make the money supply equal the amount demanded. When people hold more nominal dollars than they want, they spend them faster, causing prices to rise.
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A 5% inflation rate means that an average basket of goods you purchased this year is 5 % more expensive when compared to last year.
a child of age till 10 wants to have fun by playing with there friends and family
whereas the child who is a teenagar likes to have fun with girls and want to spend
some time with girls like to propose many girls.
According to the quantity theory of money, a growing money supply increases inflation. Thus, a low interest rate tends to result in more inflation. High interest rates tend to lower inflation.When interest rates are low, individuals and businesses tend to demand more loans.
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Read the sources given below and answer the questions that follow:
‘A nation is the culmination of a long past of endeavors, sacrifice and devotion. A heroic past,
great men, glory, that is the social capital upon which one bases a national idea. To have common glories in the past, to have a common will in the present, to have performed great deeds together,
to wish to perform still more, these are the essential conditions of being a people. A nation is
therefore a large-scale solidarity…. Its existence is a daily plebiscite…. A province is its
inhabitants: if anyone has the right to be consulted, it is the inhabitant. A nation never has any
real interest in annexing or holding on toa country against its will. The existence is a guarantee of
liberty, which would be lost if the world has only one law and only one master.’
(i) From whose speech have these words been quoted? 1
(ii) What is Plebiscite? 1
(iii) Explain the concept of ‘nation’ as given in the above passage.