xplain why when the spread between government bonds rate and corporate bond rates of the same maturity widens, it is helpful in predicting a possible recession. (widening of the spread just means that the difference between corporate and government bonds increases)
xplain why when the spread between government bonds rate and corporate bond rates of the same maturity widens, it is helpful in predicting a possible recession. (widening of the spread just means that the difference between corporate and government bonds increases)
Chapter16: Monetary Policy
Section: Chapter Questions
Problem 3SQP
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Explain why when the spread between government bonds rate and corporate bond rates of the same maturity widens, it is helpful in predicting a possible recession. (widening of the spread just means that the difference between corporate and government bonds increases)
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