Economics A-Level
Market interest rates
What Market interest rates means in Economics A-Level, as defined for AQA.
Definition of Market interest rates
Check what you remember
Read the wording for your board, then hide it and explain Market interest rates in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
Broader rates that fluctuate, and when they rise, newly issued bonds offer higher yields, making existing bonds with lower fixed coupons less attractive.
Topics that use Market interest rates
- The structure of financial markets and financial (AQA A-Level)
Related terms
- Broad money
- Coupon
- Equity
- Equity finance
- Exchange rates
- Financial intermediation
- Financial markets
- Investment
Using Market interest rates in the exam
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