What caused the downturn, and eventual dissolution, of Long-Term Capital Management LP.? O The 1997 Russian default caused a significant rise in U.S. Treasury Bonds, which LTCM was significantly short selling. O With the fall of the Soviet Union, Russia invested in the U.S. markets and destabilized the economy temporarily. O LTCM did not investments in Russian markets when they defaulted on their debts. O LTCM was lying to investors in an effort to inflate their stocks, which they then used to pay their employees in
What caused the downturn, and eventual dissolution, of Long-Term Capital Management LP.? O The 1997 Russian default caused a significant rise in U.S. Treasury Bonds, which LTCM was significantly short selling. O With the fall of the Soviet Union, Russia invested in the U.S. markets and destabilized the economy temporarily. O LTCM did not investments in Russian markets when they defaulted on their debts. O LTCM was lying to investors in an effort to inflate their stocks, which they then used to pay their employees in
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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