Multiple Choice
Refer to the following figure when answering the following questions.
Figure 12.3: Yield Curves December 4, 2006 and 2012
-Consider the yield curves in Figure 12.3. The curve for 12/4/2006 is unusual because:
A) it has no relationship to the real economy.
B) its short-term interest rates are higher than long-term interest rates.
C) it is inverted.
D) it is higher than the yield curve for 2012.
E) It is not unusual.
Correct Answer:

Verified
Correct Answer:
Verified
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