Yield Curve - Theory

Theory

There are three main economic theories attempting to explain how yields vary with maturity. Two of the theories are extreme positions, while the third attempts to find a middle ground between the former two.

Read more about this topic:  Yield Curve

Famous quotes containing the word theory:

    Hygiene is the corruption of medicine by morality. It is impossible to find a hygienest who does not debase his theory of the healthful with a theory of the virtuous.... The true aim of medicine is not to make men virtuous; it is to safeguard and rescue them from the consequences of their vices.
    —H.L. (Henry Lewis)

    Osteopath—One who argues that all human ills are caused by the pressure of hard bone upon soft tissue. The proof of his theory is to be found in the heads of those who believe it.
    —H.L. (Henry Lewis)

    Every theory is a self-fulfilling prophecy that orders experience into the framework it provides.
    Ruth Hubbard (b. 1924)