Question: Q7 Ch 6 (20%) Go to https://fred.stlouisfed.org/categories . Under Money, Banking, & Finance select Interest Rates. Compare the yield offered on a T-bill with the

Q7 Ch 6 (20%) Go to https://fred.stlouisfed.org/categories . Under Money, Banking, & Finance select Interest Rates. Compare the yield offered on a T-bill with the yield offered by another money market security with a similar maturity.

a. What is the difference in yields?

b. Why do you think the yields differ?

c. How is the risk premium on a specific risky money market security (versus the T-bill) changed since one year ago?

d. Is the change due to a change in economic conditions? Explain

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