The Segmented Markets Theory Can Explain

question 110

Multiple Choice

The segmented markets theory can explain

• A)why yield curves usually tend to slope upward.
• B)why interest rates on bonds of different maturities tend to move together.
• C)why yield curves tend to slope upward when short-term interest rates are low and to be inverted when short-term interest rates are high.
• D)why yield curves have been used to forecast business cycles.

---

Definitions:

Force-Coercion Strategy

A change management approach involving the use of power, threats, or sanctions to induce change within an organization.

Formal Authority

Power or right, based on one's position in an organization, to make decisions, command resources, or direct the work of others.

Refreezing

The phase of Lewin’s planned change process at which change is stabilized.

Long-Term Continuity

The strategic aim of ensuring an organization's operations, values, and goals persist over a lengthy period.