Which of the following statements about the term structure of interest rates is incorrect? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer a According to the Liquidity Preference Theory, long-term interest rates are usually higher than short-term interest rates b The Market Segmentation Theory posits that bonds of different maturities are traded by different investors and their prices/yields are determined separately. The Pure Expectations Theory asserts that the yield curve is explained solely by investors interest rate expectations. According to the Pure Expectations Theory, an upward sloping curve should be typical (theoretically), None of the above statements are incorrect. All of the above statements are correct.)