The preference for more liquid short-term securities places downward pressure on the slope of the

Name: The preference for more liquid short-term securities places downward pressure on the slope of the
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Question

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The preference for more liquid short-term securities typically places upward pressure on the slope of the yield curve, as it increases demand for short-term securities, lowering their yields relative to long-term securities.

The Preference for More Liquid Short-Term Securities Places Downward Pressure