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Which of the following statements is correct Mean reversion refers to the fact that, unlike stock, interest rates tend to have a decreasing trend. Mean
Which of the following statements is correct Mean reversion refers to the fact that, unlike stock, interest rates tend to have a decreasing trend. Mean reversion refers to the fact that interest rates tend to decrease when the rate is high and to increase when it is low. Mean reversion refers to the fact that interest rates tend to converge to an increasing long term mean. Mean reversion refers to the fact that interest rates tend to increase when they are high and to decrease when they are low
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