Buying an inflation-indexed bond is risky. If I buy a conventional bond, I know what interest rate

Question:

“Buying an inflation-indexed bond is risky. If I buy a conventional bond, I know what interest rate I will receive. With an indexed bond, the rate can rise or fall depending on inflation. Risk-averse savers should prefer conventional bonds." Discuss.
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: