In 2016, an article in the Economist about the bond market in China noted that the “spreads between yields on AAA-rated corporate bonds and government bonds fell to historic lows of less than 0.4 percentage points this January.” What does this decline in spreads indicate about investors’ expectations of the default risk on the corporate bonds? Illustrate what was happening in the bond market in China using one graph showing the market for corporate bonds and another graph showing the market for Chinese government bonds.