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Suppose that many big corporations decide not to issue? bonds, since it is now too costly to comply with new financial market regulations.
Can you describe the expected effect on interest? rates?
A. The impact will translate into a shift to the left in the demand? curve, increasing? bond's prices? (lowering interest? rates) and lowering the quantity of bonds bought and sold in the market.
B. The impact will translate into a shift to the right in the supply? curve, decreasing? bond's prices? (increasing interest? rates) and increasing the quantity of bonds bought and sold in the market.
C. The impact will translate into a shift to the left in the supply? curve, increasing? bond's prices? (lowering interest? rates) and lowering the quantity of bonds bought and sold in the market.
D. The impact will translate into a shift to the right in the demand? curve, decreasing? bond's prices? (increasing interest? rates) and increasing the quantity of bonds bought and sold in the market.
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