a) If the inflation is expected to be falling over the next few years, the long-term interest rates will be higher than
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a) If the inflation is expected to be falling over the next few years, the long-term interest rates will be higher than
a) If the inflation is expected to be falling over the next few years, the long-term interest rates will be higher than short-term rates under the liquidity preference theory. Is this statement true, false or uncertain? Explain.
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