Lãi Suất và Kinh Tế

What does interest rate reflect?

• The cost of borrowing capital

• The return on the lent capital

• Both a and b

For borrowers, interest rate is considered as?

• A part of the borrowing cost

• The minimum required benefit of the loan

• Compensation for sacrificing the right to use money

• Answers b and c

When the economy is growing, market interest rates may be?

• Higher due to higher investment demand

• Lower due to lower borrowing demand

• Higher due to decreased savings demand

• Answers a and c

When the economy is in recession, market interest rates may be?

• Higher due to higher borrowing demand

• Lower due to lower investment borrowing demand

• Higher due to decreased savings demand

• Answers a and c

In which case is the interest rate on VND deposits higher than that on USD deposits?

• The VND/USD exchange rate is expected to rise in the near future

• The VND/USD exchange rate is expected to fall in the near future

• Both a and b are incorrect

The rediscount rate must ensure:

• Lower than the discount rate

• Higher than the discount rate

• Both a and b are incorrect

The interest rate for a 3-month savings deposit:

• Will be fixed throughout that term

• Will change according to market interest rates

• Both a and b are incorrect

When inflation is expected to rise:

• Real interest rates may decrease

• Nominal interest rates may increase

• Nominal interest rates may decrease

• Answers a and b

Which type of interest rate is used in the case of prepayment?

• The interest rate of a discounted loan (must be sold at a lower price, meaning interest is paid in advance)

• The interest rate of an advance loan

• Both

Which type of interest rate is used in the case of prepayment?

• Discount loan interest rate (must be sold at a lower price, meaning interest has been prepaid)

• Advance loan interest rate

• Both a and b