Competitive bidding by securities firms for underwriting the issue of new bonds is primarily used for

Question

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Competitive bidding is primarily used for underwriting the issue of municipal bonds or public utility bonds. Federal government bonds are typically auctioned off using a different process, while banks and nonbanking financial institutions may issue bonds but may not necessarily use competitive bidding to underwrite them.

Competitive Bidding by Securities Firms for Underwriting the Issue of New