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f expectation theory holds then: a. then an upward sloping yield curve is an indication that short-term rates are expected to increase. b. investors must
f expectation theory holds then:
a. | then an upward sloping yield curve is an indication that short-term rates are expected to increase. | |
b. | investors must be offered a higher expected return to hold a bond longer | |
c. | the yield curve cannot be downward sloping | |
d. | a flat yield curve is an indication that long-run rates are expected to increase. |
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