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Which of the following statements related to the Yield Curve are TRUE? A. Yield Curve is a plot of bond yields (on Y-axis) and time
Which of the following statements related to the "Yield Curve" are TRUE?
A. | Yield Curve is a plot of bond yields (on Y-axis) and time to maturity (on X-axis) | |
B. | When the yield curve inverts, most business people prepare for a business downturn | |
C. | Yield curve is not important for business people as it is too difficult to understand | |
D. | If the yield curve is upward sloping, the economy is expected to do well in the future | |
E. | If the yield curve is inverted, the economy is expected to do poorly in the future. It is a signal for a possible recession |
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