When the Yield Curve Is Flat or Downward-Sloping, It Suggests

question 46

Multiple Choice

When the yield curve is flat or downward-sloping, it suggests that the economy is more likely to enter ________.

• A) a recession
• B) an expansion
• C) a boom time
• D) a period of increasing output

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Definitions:

Disposed Toward

Having a particular attitude, inclination, or tendency towards something or someone.

Critical Thinking

The intellectually disciplined process of actively and skillfully conceptualizing, applying, analyzing, synthesizing, and evaluating information.

Cogent Arguments

Arguments that are clear, logical, and convincing because of their well-organized and compelling evidence or reasoning.

Careful Research

The diligent and thorough investigation into a subject to discover or revise facts, theories, applications, etc.