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Today, 08:05

What is a disadvantage of government bonds?

a) they have a high intrest rate

b) They are difficult to find

c) They are relatively risk-free

d) all of the above

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Answers (1)
  1. Today, 10:34
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    None of those answers are suitable to me.

    Government bonds are generally regarded as low-risk and they typically have modest (low) interest rates for return on investment, and these are advantages really. So we can discount answer A, C, and D.

    I guess you could say that bonds can be hard to find (Answer B) but this not really true. There is always a bond market to trade bonds on. It requires setting up a trading account or speaking to a broker so this can be more difficult than putting money in a bank account, but to be honest I don't think any of those answers are appropriate for the question.
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