Multiple Choice
Changes in the slope of the yield curve
A) reflect only changes in the demand for securities, since lenders dominate the securities markets.
B) reflect only changes in the supply of securities, since borrowers dominate the securities markets.
C) reflect changes in the supply of and demand for securities which are induced by changes in interest rate expectations.
D) come about magically.
Correct Answer:
Verified
Correct Answer:
Verified
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