Determine the shape of the yield curve during the 20062007 time period. You can gather information to

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Determine the shape of the yield curve during the 2006–2007 time period. You can gather information to construct the yield curve from the Federal Reserve Web site. Alternatively, many Web sites, such as stockcharts.com (http://stockcharts.com/charts/YieldCurve.html), provide pictures of historical yield curves. Looking at this yield curve, do you think that the weak economic conditions and market downturn that began in thefall of 2008 were a surpriseto an alert observer?

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