Question 36 1 Point Other things being equal, a decrease in the default risk of corporate bonds shifts the demand curve for corporate bonds to L., and the demand curve for Treasury bonds to the the A right:right Bleft:right rightleft left;left Question 37 1 Point In the market for reserves, the federal funds interest rate ip is currently between the discount rate is and the interest rate paid on excess reserves tor. An increase in the discount rate will decrease the federal funds interest rate, everything else held constant. True B False Question 34 1 Point According to the liquidity premium theory of the term structure of interest rates, buyers of bonds may prefer bands of one maturity over another, yet interest rates on bonds of different maturities move together over time. True B False