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    Fixed Income Securities
  4. Exam
    Exam 15: No Arbitrage and the Pricing of Interest Rate Securities
  5. Question
    What Problem Does the Cox-Ingersol-Ross (CIR) Model Solve When Com-
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What Problem Does the Cox-Ingersol-Ross (CIR) Model Solve When Com-

Question 14

Question 14

Short Answer

What problem does the Cox-Ingersol-Ross (CIR) model solve when com- pared to the Vasicek and Ho-Lee models?

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It does no...

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