1. Which of the following factors are likely to increase market interest rates?
a. Corporations increase their demand for capital
b. Household becomes less willing to save
c. Ex-ante inflation rises
d. Both a and b are correct
e. Statements a,b and c are correct
2. Suppose a stock breaks through a support level. According to technical analysis, the investor should:
a. Buy the stock
b. Sell the stock
c. Do nothing since this is a congestion area
d. Buy the stock on margin
e. Wait for the stock to split
f. None of the above