The Federal Reserve Bank in a press release dated June 16, 2022 stated that The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. In support of these goals, the Committee decided to raise the target range for the federal funds rate from 1- to 1- percent and anticipates that outgoing increases in the target range will be appropriate.

Explain and illustrate normal humped, inverted and yield curves.

Describe the impact of the press release on the proponents of the Expectation Theory and the proponents of the Market Segmentation Theory.