If a bank has a ____ duration gap, its average asset duration is probably ____ than its liability duration.

Name: If a bank has a ____ duration gap, its average asset duration is probably ____ than its liability duration.
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A positive duration gap occurs when a bank's average asset duration is longer than its liability duration, meaning the bank's assets are more sensitive to interest rate changes than its liabilities.

If a Bank Has a ____ Duration Gap, Its Average