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Question 4 (1 point) If the interest rate on a 2-year bond is higher than the interest rate on a 10-year bond, then: this is
Question 4 (1 point) If the interest rate on a 2-year bond is higher than the interest rate on a 10-year bond, then: this is not enough information to decide the slope of the yield curve the yield curve is sloping down the yield curve is flat the yield curve is sloping up Question 5 (1 point) If the yield on a 2-year bond falls from 2% to 1.5%, while the yield on a 10-year bond goes from 3% to 2.25%, then we know that the new yield curve: (after interest rate changes) O is sloping upwards we can't tell since yields were changing is flat O is sloping down wards
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