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    Exam 6: The Risk and Term Structure of Interest Rates
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    An Inverted Yield Curve Predicts That Short-Term Interest Rates
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An Inverted Yield Curve Predicts That Short-Term Interest Rates

Question 66

Question 66

Multiple Choice

An inverted yield curve predicts that short-term interest rates


A) are expected to rise in the future.
B) will rise and then fall in the future.
C) will remain unchanged in the future.
D) will fall in the future.

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