Question: When the yield curve is upward sloping, the fixed rate on a multiyear swap must be higher than the current level of LIBOR. With a

"When the yield curve is upward sloping, the fixed rate on a multiyear swap must be higher than the current level of LIBOR. With a downward-sloping yield curve, the opposite will occur." Explain what is meant by this statement, and why it must be true.

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