Airbag swaps often induce both rate ceilings and floors, protecting the participants against losses from rising market interest rates.
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Q12: Consensus forecasts rely upon the simultaneous use
Q13: The result of an interest-rate swap is
Q14: The notional amount of a swap never
Q15: Interest rate swaps represent iron clad agreements
Q16: In general, the idea of an interest
Q18: A call option grants the buyer the
Q19: Swaps are used to reduce default risk.
Q20: A swap eliminates all interest-rate risk.
Q21: All swaps experience a change in notional
Q22: The process of economic expansion and contraction
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