1. A 10-year corporate bond yields 12.8%. The liquidity premium is 1%, and the default risk premium is 2%. Inflation premium ofor 10 year bonds is 3.7%. What is the nominal rate of a 10 year Treasury bond?
2. What is likely effect of the availability of repurchase agreements on the amount of risk taken by hedge funds?
3. What are the pros and cons of affirmative action? Is it still necessary in our society in the 21st century? Could you please exaplin why do you take such position so I can better understand its fuctions and effects. Thanks! - detailed answer will be appreciated.