How does each factor influence the supply and demand of bonds? Shift Demand Shift Demand Shift Supply Shift Supply Right Left Right Left Increasing governmental surplus O O O O Increase in the real cost of borrowing O O O O Expected increase in interest rates O O O O Increase in Liquidity O O O O Increase in expected inflation O O O Increase in government budget O O O OOO Increase in profitability O O O Increase in barriers to selling bonds on O O O O the market Contraction of the economy O O O O Increase in Wealth O O O O Increase in Expected Return O O O O Increase in Risk O O O O Decrease in portfolio standard deviation O O O O