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    Exam 6: The Risk and Term Structure of Interest Rates
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    The Collapse of the Subprime Mortgage Market
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The Collapse of the Subprime Mortgage Market

Question 14

Question 14

Multiple Choice

The collapse of the subprime mortgage market


A) did not affect the corporate bond market.
B) increased the perceived riskiness of Treasury securities.
C) reduced the Baa-Aaa spread.
D) increased the Baa-Aaa spread.

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