6. How would your answer to 5 change if people thought short-term bonds were less risky than long-term bonds (and people were risk averse). a. b. 2%, 4%, 6%, 8%, 5% 4%, 2%, 3%, 3%, 3% 6. How would your answer to 5 change if people thought short-term bonds were less risky than long-term bonds (and people were risk averse). 5. Assume that Expectations Theory of the term structure of interest rates is true. Calculate the current interest rate for maturities one to five years and plot the resulting yield curves when current and expected future short-term (one year) interest rates have the following paths: a. b. 2%, 4%, 6%, 8%, 5% 4%, 2%, 3%, 3%, 3% 6. How would your answer to 5 change if people thought short-term bonds were less risky than long-term bonds (and people were risk averse)