5. Open market sales shrink _____ thereby lowering______.

When
the interest rate on a bond is ________ the equilibrium interest
rate, in the bond market  


there
is excess ________ and the interest rate will ________.

Holding
everything else constant,  

If
gold becomes acceptable as a medium of exchange, the demand for gold
will ________ and  


the
demand for bonds will ________, everything else held constant.

If
housing prices are expected to increase, then, other things equal,
the demand for houses will  


________
and that of Treasury bills will ________.

An
increase in an assetʹs
expected return relative to that of an alternative asset, holding  


everything
else constant, ________ the quantity demanded of the asset.

Prices
and returns for ________ bonds are more volatile than those for
________ bonds,  


everything
else held constant.

If
you expect the inflation rate to be 4 percent next year and a one
year bond has a yield to  


maturity
of 7 percent, then the real interest rate on this bond is

When
the ________ interest rate is low, there are greater incentives to
________ and fewer  


incentives
to ________.

Which
of the following are generally true of all bonds?   

Which
of the following are true concerning the distinction between interest
rates and returns?