The current yield curve for default-free zero-coupon bonds are: 1-Year: 7%; 2-Year: 8%; 3-Year: 9%. According to the expectation theory, investors a. expect interest rates to rise in future. b. expect interest rates to be flat in future. C. expect interest rates to fall in future. d. require higher yields for bonds with longer terms as a compensation for lower liquidity. e. None of the above choices is correct