The choice curve is bas reflect their its own curr ed on the arg credit risk. A ency is assum of the . Tre u bo ed ment that the yi nd issued by a g asury yield curve as the risk-free elds on bonds its yield sho rates on participant es to suppl to the econ . Treasury sec y uld equal the r ur s’ views on a variety of factors inc and demand for high quality credit relative omic cycle, the effect of inflation and investor k-free rate of interest. Interest ities are influenced by market luding chang is to have no credit risk so that overnment in expectations on interest rate levels, yield curve.
