Countries in emerging markets such as in Latin America tend to have ____ interest rates, and so the yields offered on bonds issued in those countries are ____.

Question

Quizplus · Accepted Answer

Countries in emerging markets, like those in Latin America, often have higher interest rates due to the increased risk associated with investing in these markets. Consequently, the yields on bonds issued by these countries are also high to compensate investors for taking on additional risk.

Countries in Emerging Markets Such as in Latin America Tend