If the liquidity preference hypothesis is true, what shape should the term structure curve have in a

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If the liquidity preference hypothesis is true, what shape should the term structure curve have in a period where interest rates are expected to be constant? P-639

a. Upward-sloping

b. Downward-sloping

c. Flat

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ISE Investments

ISBN: 9781266085963

13th International Edition

Authors: Zvi Bodie, Alex Kane, Alan Marcus

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