On the basis of historical data from the 1957-2005 period, the return on the average Treasury bill
has ﬂuctuated more than the return on the average long bond.

Question

Quizplus · Accepted Answer

Historically, long-term bonds tend to have more price volatility and thus more fluctuation in returns compared to short-term Treasury bills, which are considered safer and more stable.

On the Basis of Historical Data from the 1957-2005 Period