Question: A flat yield curve could be explained byGroup of answer choicesNone of the above is truea rising liquidity premium perfectly offsetting the effect of expected

A flat yield curve could be explained byGroup of answer choicesNone of the above is truea rising liquidity premium perfectly offsetting the effect of expected future Fed rate cuts, if the liquidity premium theory holdsexpectations that future short-term interest rates will fall moderately, if the expectations theory holdsexpectations that future short-term interest rates will remain relatively unchanged, if the liquidity premium theory holdsAll of the above are true

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