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MACROECONOMICS


Question:


Which of the following statements is incorrect

The yield or interest rate on a bond indicates the perception that investors have about that investment

If the yield on a bond is moving higher, it suggests that investors are demanding a lower rate of interest in return for their investment

If the yield on a bond is moving higher, it suggests that investors are associating more risk with that bond

If the yield on a bond is moving higher, it suggests that investors are demanding a higher rate of interest in return for their investment