1. If the economic growth rate country exceeds a country’s sustainable rate, the central bank will likely:
lower the IOER rate.
do nothing to maintain high economic growth and low unemployment.
lower the fed funds rate.
raise the target interest rate.
2. Which of the following is not a characteristic commonly assessed by insurance regulators to detect any problems in an insurance company?
liquidity of the asset portfolio
relative size of operating expenses
return on investment
All of the above are assessed by regulators.