Recent Posts • Latest Topics • Unanswered Questions

According to the liquidity premium theory of the term structure

valputin

wrote...

Go to Answer

Posts: 5754

Rep:

8 years ago

According to the liquidity premium theory of the term structure

According to the liquidity premium theory of the term structure
A) if yield curves are downward sloping, then short-term interest rates are expected to fall by so much that, even when the positive term premium is added, long-term rates fall below short-term rates.
B) bonds of different maturities are not substitutes.
C) yield curves should never slope downward.
D) interest rates on bonds of different maturities do not move together over time.

Textbook

The Economics of Money, Banking and Financial Markets, Business School Edition

Edition: 4^th

Author: Mishkin

Read 86 times

3 Replies

Report

Our course uses > The Economics of Money, Banking and Financial Markets

Replies

Answer verified by a subject expert

Meela

wrote...

Related Topics

valputin Author

wrote...

8 years ago

Thank you

Report

Our course uses > The Economics of Money, Banking and Financial Markets

Meela

wrote...

8 years ago

@valputin,

Happy to help Slight Smile

Report

New Topic

Quick Reply

Explore

Post your homework questions and get free online help from our incredible volunteers

1278 People Browsing

Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook

Live Chat

Related Images

250

1088

Your Opinion

Previous poll results: Who's your favorite biologist?

It's sore throat season, why does my mucus have red spots?

Bonobos, Chimpanzees, and the 98% DNA Link

Strange Ingredients Lurking in Doritos Chips

Courses by Biology Forums

The Toxic Skin and Fungi Defense

Ready to ask a question on Biology Forums? Try it out

Join Our Community

Biology Forums - Study Force is a free online homework help service catered towards college and high school students. Get homework help and answers to your toughest questions in biology, chemistry, physics, mathematics, engineering, accounting, business, humanities, and more. Master your assignments quickly with thousands of step-by-step solutions to countless textbook questions asked and answered by our members. If we don't have your question, don't worry. You can ask any homework question and get expert homework help in as little as two hours.

Our extensive online study community is made up of college and high school students, teachers, professors, parents and subject enthusiasts who contribute to our vast collection of study resources: textbook solutions, study guides, practice tests, practice problems, lecture notes, equation sheets and more. With our help, your homework will never be the same!

Join for free today

How is Biology Forums - Study Force different than tutoring?

Home Search Q & A Board Gallery Resource Library Blog Dictionary Chat	Quick Links Start a Topic Latest Topics Unanswered Questions Courses Study Tools Browse by Textbook	Social Facebook YouTube Community Stats Who's Online Trending Staff	Help About Us Take the Tour Study Tips Posting Guidelines Terms and Policies Contact Us
Biology Forums - Study Force © 2010-2024 \| Powered by SMF \| SMF © 2015, Simple Machines \| Sitemap Biology-Forums.com is not affiliated with any publisher. Book covers, title and author names appear for reference only.