Question: The expected future value of an interest rate in a risk-neutral world is greater than it is in the real world. What does this statement

"The expected future value of an interest rate in a risk-neutral world is greater than it is in the real world." What does this statement imply about the market price of risk for (a) an interest rate and (b) a bond price. Do you think the statement is likely to be true? Give reasons.

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