Explain how a sudden expectation of higher prices of real

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Question 1) Explain how a sudden expectation of higher prices of real estate would affect interest rates. Given the predicted change in interest rate, discuss how the market for bonds would react.

Question 2) Explain what concern many investors share when the yield curve flattens out. Do you see that in the current market for bonds, and should it be a reason for concern? Justify your response using economic data or research that supports your opinion.

Reference no: EM133290518

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