Estimating Forward Rates from the Spot Rate Curve Is Based

question 124

Multiple Choice

Estimating forward rates from the spot rate curve is based on the assumption that the ____ hypothesis accurately describes the shape of the yield curve.

• A) expectations
• B) liquidity preference
• C) liquidity preference.
• D) efficient market
• E) None of these are correct.

---

Definitions:

Search Site

A specific type of website designed to help users find information on the internet or within the site itself through the use of keywords or phrases.

Online Social Network

A platform on the internet where users can connect, interact, and share content with a community of people with similar interests.

Nonprofit Organizations

Entities that operate for the benefit of the general public without the primary goal of making profits for owners or stakeholders.

E-Commerce

The buying and selling of goods and services through the internet, including the transfer of money and data to execute these transactions.