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Under the liquidity premium theory a flat yield curve implies: a. there is no risk premium for longer-term maturities. b. short-term interest rates are expected

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Under the liquidity premium theory a flat yield curve implies: a. there is no risk premium for longer-term maturities. b. short-term interest rates are expected to remain constant. C. short-term interest rates are expected to decrease. d. long-term interest rates are higher than short-term interest rates

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