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The liquidity preference theory of interest rates suggests that: a. interest rates move randomly and without a pattern. b. the yield curve is inverted because
The liquidity preference theory of interest rates suggests that: a. interest rates move randomly and without a pattern. b. the yield curve is inverted because lenders prefer longer-term, more expensive debt. c. the yield curve is upward sloping because lenders prefer shorter-term loans. d. none of the above
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