Question #$1$: Theory of Portfolio Choice $[15$ Points; $3$ Points each$]$

For each of the following circumstances state if your demand for $10-$year Treasury bonds will increase or decrease. Briefly explain Ino more than $1-2$ sentenceslyour reasoning.

$($a$)$ You uninsured house was destroyed by a fire.

$($b$)$ You become more optimistic about the returns in the stock market for $2024.$

$($c$)$ Brokerage firms raise trading commissions for investors who purchase and sell Treasure bonds online.

$($d$)$ Bond investors expect lower interest rates in the future.

$($e$)$ You anticipate more volatility in the stock market.