Question 1 Idiosyncratic risk is:Question 2 Bond prices (and yields) are determind by supply and demand in the bond market.Question 3 The current yield is:Question 4 The term structure of interest rates is the relationship between time to maturity and:Question 5 Financial markets are essential to the operation of our economic system because they do all but one of the following:Question 6 Stock prices are a central element in a market economy because they:Question 7 The intrinsic and time value of an option depend on all but:Question 8 The real exchange rate is strongly related to the:Question 9 Adverse selection means:Question 10 The risks faced by banks in day-to-day operations include:Question 11 Banks assets are all but:Question 12 Banks make a profit for their owners. Banks typically measure their own profitability by all except:Question 13 All of the following are non-depository institutions except:Question 14 A bank run can place a bank into which of the following positions?Question 15 Government is involved in every part of the financial system. Government officials may intervene in the financial system in order to do all but:Question 16 Functions of the modern central bank is to do all but:Question 17 Which of the following does not describe the Federal Open Market Committee (FOMC):Question 18 Money multiplier depends on:Question 19 The six core principles include all but: