Question:

The federal reserve Board can affect peoples Investment strategies by dirctly?

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a. Trade policy

b. intrest rates

c. bond prices

d.stock prices

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  1. Definitely B!!

    Investors in the stock and Bond Market love lower interest rates. The Stockies enjoy the more liberal loaning it allows, and the Bondzos make profit by owning bonds with higher interest rates than current interest rates.


  2. "B" is right one.
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