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A normal yield curve refers to situations where: Short-term interest rates are higher than long-term interest rates Short-term interest rates are lower than long-term interest

image text in transcribed A normal yield curve refers to situations where: Short-term interest rates are higher than long-term interest rates Short-term interest rates are lower than long-term interest rates Short-term and long-term interest rates are approximately equal Corporate bond rates are lower than the rate on US treasury bonds with the same maturity Corporate bond rates are higher than the rate on US treasury bonds with the same maturity

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