Government bonds do not pay very high interest rates. What advantages do they have for those who invest in them?
A. The value will vary with the dollar’s exchange rate.
B. It is beneficial to invest money at a low interest rate.
C. The money is guaranteed and will earn some interest.
D. Businesses get tax credits for purchasing government bonds.
C. The money is guaranteed and will earn some interest.
One advantage of investing in government bonds is that they are considered safe investments, as they are backed by the government and are considered to have little risk of default. Additionally, the interest rates, although low, are guaranteed, providing a steady and predictable income for investors.