Suppose that the current treasury bond yield curve is


Suppose that the current treasury bond yield curve is upward sloping. Under this condition, we could be sure that

Inflation is expected to decline in the future.

The economy is not in a recession.

Maturity risk premiums could help to explain the yield curve's upward slope.

Long-term bonds are a better buy than short-term bonds.

Long-term interest rates are more volatile than short-term rates.

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Financial Management: Suppose that the current treasury bond yield curve is
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