3.5how, using a diagram, how recovery from a recession will affect the risk premium hetween Treasury and corporate bonds. 4. [f hond investors decide that 30year bonds are no longer as desirable an investment as they were previously, predict what will happen to the yield curve, assuming the expectations theory of the term structure holds. Sketch the before and after yield curves. 5. If hond investors decide that Bilyear bonds are no longer as desirable an investment as they were previously, predict what will happen to the yield curve, assuming the segmented markets theory of the term structure holds. Sketch the before and after yield curves