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Suppose that the Federal government decides to reduce the tax advantage of municipal bonds, relative to US Treasury bonds. In this case, we would expect
Suppose that the Federal government decides to reduce the tax advantage of municipal bonds, relative to US Treasury bonds. In this case, we would expect that the equilibrium yield in the municipal bond market will ____ and the yield in the US Treasury bonds market will ____.
Group of answer choices
fall; rise
fall; fall
rise; rise
rise; fall
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