Which of the Following Combinations Will Result in a Sharply-Increasing

question 25

Multiple Choice

Which of the following combinations will result in a sharply-increasing yield curve?

• A) Increasing future expected short rates and increasing liquidity premiums
• B) Decreasing future expected short rates and increasing liquidity premiums
• C) Increasing future expected short rates and decreasing liquidity premiums
• D) Increasing future expected short rates and constant liquidity premiums
• E) Constant future expected short rates and increasing liquidity premiums

---

Definitions:

Voltage-Gated Channels

Protein channels in cell membranes that open or close in response to changes in electrical voltage, crucial for nerve impulse transmission.

Depolarization

The process by which a cell's membrane potential becomes less negative, moving towards a more positive charge, typically initiating an action potential.

Activation Gate

A mechanism of ion channels within cellular membranes that allows ions to enter or exit a cell in response to physiological signals.

Continuous Conduction

The propagation of an electrical impulse along an unmyelinated axon without interruption.