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Notice the following model of a bond market. In each situation given, explain what happens to the bond price and yield and why. SBonds Price

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Notice the following model of a bond market. In each situation given, explain what happens to the bond price and yield and why. SBonds Price of bonds x DBonds Quantity of Bonds a) Expected inflation decreases b) The return on bonds falls relative to other assets c) The federal government deficit decreases

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