Bundle of Bloomberg Exams| Questions and Correct Verified Answers

Corporate bond issuers go bankrupt more frequently than governments, as they do not have a tax base to fall back on in hard times - Why did the corporate spread significantly widen during the 2008 market crash? what does it mean when a company's corporate spread tightens? - the company's bo...

How might you tell how the currency of a country is doing - Look at a graph of its currency against the US dollar and then look at its inflation and the correlation. If net exports are positive, what happens to the currency? - If net exports is positive, the country has a trade surplus and it wil...

Inaccurately because the scope of GDP measurements can change. - How accurately do GDP portray the economy and why? It went down - Consider the formula GDP = C+I+G+(X-M). A country is undergoing a boom in consumption of domestic and foreign luxury goods. In one year, the dollar growth in imports ...

Which of the following qualities of economic indicators do investors prize the most? - timeliness of release Why is the release of GDP statistics less interesting to investors than the release of other economic indicators? - because GPD statistics are released well after other economic indicators...

How accurately do GDP statistics portray the economy and why? - Just because they are official and numerical does not mean they are accurate. The term "domestic" in GDP unambiguously links to a nation state. Why is economic data helpful in the investment process? - If an economy is doing we...