Which of the following statements is correct? a. According to the...
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Finance
Which of the following statements is correct?
a. | According to the market segmentation theory, the yield curve is expected to slope downward. | |
b. | If the inflation is expected to decrease in the future, then the yield curve should have an upward slope. | |
c. | The probability of default is higher on short-term bonds than on long-term bonds. | |
e. | Reinvestment rate risk is lower, other things held constant, on long-term than on short-term bonds. |
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