Two factors account for the prominent role of U.S. Treasury securities: ________.

Question

Quizplus · Accepted Answer

The question is asking about the factors that account for the prominent role of U.S. Treasury securities. The two factors identified are volume (in terms of dollars outstanding) and liquidity. U.S. Treasury securities are among the most actively traded in the world, with about $500 billion worth changing hands on an average day. This high volume makes them a crucial part of financial markets, and the liquidity of these securities ensures that there is always a market for them, even in times of financial stress. Therefore, the best choice is C, volume (in terms of dollars outstanding) and liquidity.

Two Factors Account for the Prominent Role of U