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Describe the Shape of the Normal Yield Curve

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Describe the shape of the normal yield curve. Why is that shape fairly typical?


Definitions:

Illusory Correlation

A tendency to assume an association between two rare occurrences, such as being in a minority group and performing negative actions.

Minority Group

A demographic group that is smaller in numbers within a larger society and is often subjected to differing treatment or discrimination.

Negative Actions

Behaviors or deeds that have harmful, destructive, or undesirable outcomes.

Illusory Correlations

The perception of a relationship between two variables even when no such relationship exists.

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