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NEW QUESTION: 1

A. Option C
B. Option A
C. Option E
D. Option D
E. Option B
Answer: B,E

NEW QUESTION: 2
Which of the following actions can be expected to result in a decrease in stock and bond prices, all else equal?
I. The Federal Reserve announces a decrease in the discount rate.
II. Congress votes to decrease payments to Social Security recipients.
III. Congress votes to decrease taxes.
IV. The Federal Reserve announces that it will sell some of the Treasury securities it owns on the open market.
A. I and III only
B. I, II, and III only
C. II and III only
D. II and IV only
Answer: D
Explanation:
Explanation/Reference:
Explanation: Only Selections II and IV will result in a decrease in stock and bond prices, all else equal. If Congress votes to decrease payments to Social Security recipients or if the Federal Reserve announces that it will sell some of the Treasury securities it owns on the open market, a decrease in stock and bond prices can be expected. A vote by Congress to decrease payments to Social Security recipients results in a decrease in money supply in our economy. Since interest rates can be thought of as the "price" of money, a decrease in the money supply will result in higher interest rates, which results in lower prices in the stock and bond markets. Similarly, if the Federal Reserve sells some of the Treasury securities it owns on the open market, a decrease in the money supply results, leading to an increase in interest rates and a decrease in securities' prices. When the Federal Reserve decreases the discount rate and when Congress decreases taxes, the money supply is increased. The interest rate-the price of money-subsequently decreases (all else equal), and prices of stocks and bonds increase as a result.

NEW QUESTION: 3
Click on the Exhibit Button to view the Formula Sheet. Which of the following is not true?
A. The Model Code sets out the manner and spirit in w
B. The Model Code is an attempt to deal with the lega
C. The Model Code is published by ACI's Committee for
D. The Model Code sets out the practicalities of deal
Answer: B


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A: We recommend the PAL-I Premium especially if you are new to our website. Our PAL-I Premium Questions have a higher quality and are ready to use right from the start. We are not saying PAL-I Free Questions aren’t good but the quality can vary a lot since this are user creations.

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A: Reach out to us here PAL-I FAQ and drop a message in the comment section with any questions you have related to the PAL-I Exam or our content. One of our moderators will assist you.

PAL-I Exam Info

In case you haven’t done it yet, we strongly advise in reviewing the below. These are important resources related to the PAL-I Exam.

PAL-I Exam Topics

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PAL-I Offcial Page

Review the official page for the PAL-I Offcial if you haven’t done it already.
Check what resources you have available for studying.

Schedule the PAL-I Exam

Check when you can schedule the exam. Most people overlook this and assume that they can take the exam anytime but it’s not case.