Which of the following statements is true? The interest rate risk premium always adds a downward bias to the slope of the yield curve. The longer the maturity of a security, the greater its interest rate risk. If investors believe inflation will be subsiding in the future, the prevailing yield curve will have a positive slope. The real rate of interest varies with the business cycle, with the lowest rates at the end of a period of business expansion and the highest at the bottom of a recession. Which of the following statements is true? The interest rate risk premium always adds a downward bias to the slope of the yield curve. The longer the maturity of a security, the greater its interest rate risk. If investors believe inflation will be subsiding in the future, the prevailing yield curve will have a positive slope. The real rate of interest varies with the business cycle, with the lowest rates at the end of a period of business expansion and the highest at the bottom of a recession