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1. The unbiased expectations theory of the term structure of interest rates holds that expected long-term interest rates are unrelated to expected future short-term interest
1. The unbiased expectations theory of the term structure of interest rates holds that expected long-term interest rates are unrelated to expected future short-term interest rates.
A. T
B. F
2. An increase in interest rates will increase the demand for loanable funds.
A.T
B.F
3.The hurdle rate on a business project is not impacted by changes in interest rates in the economy.
A.T
B.F
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