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According to the Preferred Habitat theory of the term structure (choose the most complete answer): the interest rate on long-term bonds will exceed the average

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According to the Preferred Habitat theory of the term structure (choose the most complete answer): the interest rate on long-term bonds will exceed the average of expected future short-term interest rates. O interest rates on bonds of different maturities move together over time and buyers of bonds prefer long- term to short-term bonds. O buyers of bonds prefer long-term to short-term bonds the interest rate on long-term bonds will exceed the average of expected future short-term interest rates. O buyers of bonds prefer short-term to long-term bonds and interest rates on bonds of different maturities move together over time. O None of the answers

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