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Imagine a New Communication Technology Is Invented That Makes It

Question 156

Essay

Imagine a new communication technology is invented that makes it easier for foreign investors to buy U.S.Treasury securities.
a.How would you draw the market for Treasury securities showing how the technology,holding all else constant,will affect demand?
b.What will happen to Treasury security prices?

Correct Answer:

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a.The increase in technology that makes ...

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