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7. Assume that annualized yields of short-term and long-term securities are equal. If investors suddenly believe interest rates will increase, their actions may cause the

7. Assume that annualized yields of short-term and long-term securities are equal. If investors suddenly believe interest rates will increase, their actions may cause the yield curve to a. None of these is correct. b. become flat. c. become upward sloping. d. be unaffected.13. Which of the following is NOT a major component of the Federal Reserve System? a. FOMC b. FINRA c. None of these are part of the Federal Reserve system. d. District banks

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