For Large Interest Rate Increases, Duration _____________ the Fall in Security

Multiple Choice

For large interest rate increases, duration _____________ the fall in security prices, and for large interest rate decreases, duration ______________ the rise in security prices.

A) overpredicts; overpredicts
B) overpredicts; underpredicts
C) underpredicts; overpredicts
D) underpredicts; underpredicts
E) none of the above