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Negative realized real rates of interest are associated with periods where a. inflation forecasts significantly underestimate inflation. b. nominal interest rates were too high relative
Negative realized real rates of interest are associated with periods where a. inflation forecasts significantly underestimate inflation. b. nominal interest rates were too high relative to actual inflation. prior inflation forecasts overestimated inflation. bond prices were priced too low relative to actual inflation. c. d. Two factors that affect interest rate risk are a. default risk and reinvestment risk. b. liquidity risk and reinvestment risk. c. price risk and political risk. d. price risk and reinvestment risk
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