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Which of the following statements of effective intervention programs is true?
Inverted Yield Curve
A situation in the bond market where long-term debt instruments have a lower yield than short-term debt instruments, often seen as an indicator of economic recession.
Long-term Interest Rates
Interest rates applied to loans or debt securities with longer maturity dates, generally over ten years.
Forward Interest Rate
An interest rate agreed upon today for a loan that will begin at a future date, used to hedge against interest rate fluctuations.
Zero-coupon Bond
A bond that does not pay periodic interest, but is sold at a deep discount from its face value and redeemed at full value at maturity.
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