Question: Q4. Critically analyze the following graphs how changes equilibrium interest effect changes interest rate given in graph below? (5x5=10 Marks) A) Analyze the effect of
Q4. Critically analyze the following graphs how changes equilibrium interest effect changes interest rate given in graph below? (5x5=10 Marks) A) Analyze the effect of sudden expectation of higher interest rates in short-term and long term markets? Market for short-term risk-free debt Market for long-term risk-free debt $ $ SS D D D D Q4. Critically analyze the following graphs how changes equilibrium interest effect changes interest rate given in graph below? (5x5=10 Marks) A) Analyze the effect of sudden expectation of higher interest rates in short-term and long term markets? Market for short-term risk-free debt Market for long-term risk-free debt $ $ SS D D D D
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