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Other Fields Homework Help Economics Topic started by: rachel3430 on Nov 17, 2018



Title: Explain the relationship between the interest rate on a bond and the default risk on a bond.
Post by: rachel3430 on Nov 17, 2018
Explain the relationship between the interest rate on a bond and the default risk on a bond.


Title: Explain the relationship between the interest rate on a bond and the default risk on a bond.
Post by: dclizzle on Nov 17, 2018
With bonds, the higher the default risk, the higher the interest rate, and the lower the default risk, the lower the interest rate.