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1. How do the expectations for economic growth influence the general level of interest rates? Explain fully using references to supply and demand curves. 2. How do the expectations for inflation influence the general level of interest rates? Explain fully using references to supply and demand curves. 3. Why does an investment grade bond with a 10-year term to maturity issued by a corporation offer a higher yield than the 10-Year U.S. Treasury Note? Explain fully using the factors that affect yields. 4. Why does the yield of the 10-Year U.S. Treasury Note typically exceed the yield of the 2-Year U.S. Treasury Note? Explain fully using the various theories of the term structure of interest rates. 5. What is the terminology and explanation for instances when the yield of the 10-Year U.S. Treasury Note is lower than the yield of the 2-Year U.S. Treasury Note? 1. How do the expectations for economic growth influence the general level of interest rates? Explain fully using references to supply and demand curves. 2. How do the expectations for inflation influence the general level of interest rates? Explain fully using references to supply and demand curves. 3. Why does an investment grade bond with a 10-year term to maturity issued by a corporation offer a higher yield than the 10-Year U.S. Treasury Note? Explain fully using the factors that affect yields. 4. Why does the yield of the 10-Year U.S. Treasury Note typically exceed the yield of the 2-Year U.S. Treasury Note? Explain fully using the various theories of the term structure of interest rates. 5. What is the terminology and explanation for instances when the yield of the 10-Year U.S. Treasury Note is lower than the yield of the 2-Year U.S. Treasury

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