天津财经大学 辅修 金融市场与机构 考试范围

1.If the federal government planned to expand the space program ,how might this affect interest rates?
If the federal government planned to expand the space program,the expenditure of government will be rising .the demand quantity of loanable funds will increase .then interest rates will rise .
2.in August 1990,the Persian Gulf crisis occurred,.......on U.S. Interest rates ？
①the expenditure is rising and the demand quantity of loanable funds will increase .then ,interest rates will rise.
②because of the crisis ,the supply of loanable funds will increase .then ,interest rates will decline .
3.explain how the Fed increases the money supply through open market operations.
When the Fed purchases securities ,the account balance of the dealers are credited with this amount.thus,the total amount of funds at the dealers` bank increase .The total funds of commercial banks increase. the Fed`s policy directive represents
a loosening of money supply growth .
4.How is money supply adjusted through the discount rate reduced .This will encourage depository institutions borrowing from the Fed rather than from other sources .
To decrease the money supply ,the Fed can make the discount rate increased.depository institutions can obtain funding from other sources .the level of funds will decrease .
5.Briefly summarize the pure Keynesian philosophy and identity the key variable considered .
①The pure Keynesian philosophy suggest that the money supply should be adjusted by the fed to influence interest rate and aggregate spending for goods and service .
②A loose-money policy can lower interest rates and increase aggregate spending ,while a tight money policy Key variable considered ; economic growth rate,unemployment rate,inflation rate,deficit .
6.Briefly summarize the monetarist approach .
①The Monetarist philosophy advocates a stable ,low growth in the money supply .
②the sporadic changes in money supply growth are likely to result on volatile business cycles .
7.Are variable-rate bonds attractive to Investors who expect interest rates to decrease ?explain .
No.because variable-rate bonds allow investors to benefit from rising market interest rate over time .
8.Why can convertible bonds be issued by firms at a higher
price than other bonds ?
Convertible bond allows investors to exchange the bond for a stated number of shares of the firm`s common stock .this conversion feature offers investors the potential for high return.if the price of the fir`s common stock rises. Therefore investors are willing to accept a higher price on these bonds . 9.Assume that bond yields in Japan rise .How might U.S. Bond yields be affected ? Why ?
Bond yields vary among countries .investors are attracted to high bond yields in Japan ,causing funds to flow to Japan and funds of the U.S.outflow.The domestic supply of the funds declines .Therefore ,the U.S. Bond yields will be increasing with the Japanese bond yield rising .
案例分析。

1 As an analyst of a bond rating agency .
a it appears that firms decrease their demand for long-term funds over the last six months and the securities will be less issued .
b the yield would be a larger decline the future .
c the anticipate
d recession mak
e the firm reduce the supply o
f funds.
d th
e ratings o
f bonds would decline .the corporation of lack of
management and competitive ability.
2 As the treasurer of a corporation.
a no.if interest rate increase,the value of bond will decrease,so the high degree of interest risk.And the liquidity of 10-year Treasury bonds is less than T-bills,though the yield of Treasury bonds is higher.
b no.the it has a bad liquidity and a high risk.the funds would be to invest,because of reduced cost.
c prefer to the commercial paper issue
d by various corporations becaus
e o
f the higher yield.
3 As a portfolio manager for an insurance company.
a if inflation reduced,the interest rate would decrease,and the price of 10-year coupon bonds and 20-year zero-coupon bonds would increase.
b the long term and zero-coupon bonds are more sensitive than short term and coupon bonds.so the 20-year zero-coupon bonds have the highest return .
c the more benefit,the higher risk.。