considered to be the father of modern economics; believed in…

considered to be the father of modern economics; believed in laissez-faire economics; wrote The Wealth of NationsHe organized the Encyclopedie This English philosopher who argued that at birth human have three rights; he influenced the Declaration of IndependenceHis works influenced our Constitution; he said laws underlie all things and wrote Spirit of the Lawshe introduced the idea of the separation of church and state Adam Smith Denis Diderot Locke Montesquieu Voltaire

In a credit default swap, the party betting “no default” is…

In a credit default swap, the party betting “no default” is in the same position as someone ____; and the person betting “yes default” is in the same position as someone ________. A. owning the bond; buying insurance B. owning the bond; selling the bond C. buying insurance; owning the bond D. selling the bond; selling insurance the bond

According to the liquidity premium theory of the term struct…

According to the liquidity premium theory of the term structure of interest rates, I. the interest rate on long-term bonds will equal an average of short-term interest rates that people expect to occur over the life of the long-term bonds plus a liquidity premium. II. buyers of bonds may prefer bonds with shorter maturity, yet interest rates on bonds of different maturities move together over time. III. even with a positive liquidity premium, if future short-term interest rates are expected to fall significantly in the future, then the yield curve will be downward-sloping.