Question:
S Treasury yield curve is plotted in the following graph
Last updated: 6/11/2023
![S Treasury yield curve is plotted in the following graph](https://media.kunduz.com/media/sug-question-candidate/20230611054736978784-5124228.jpg?h=512)
S Treasury yield curve is plotted in the following graph INTEREST RATE 5 7 3 2 0 5 10 15 25 30 20 YEARS TO MATURITY Based on an upward sloping normal yield curve as shown which of the following statements is correct O There is a positive maturity risk premium O Inflation must be expected to increase in the future O If the pure expectations theory is correct future short term rates are expected to be higher than cu thoopt must be correct