In July 2016 CIBC (a bank) sold bonds with a negative nominal interest rate. The most likely explanation is
A) the supply of loanable funds was exceptionally large.
B) the demand for loanable funds was exceptionally low.
C) nominal interest rates were much higher than is typical.
D) CIBC so popular that people just want to give them money.
E) the demand for loanable funds was higher than ever before.
Correct Answer:
Verified
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