"The values of outstanding bonds change whenever the going rate of interest changes. In general, short-term interest rates are more volatile than long-term interest rates. Therefore, short-term bond prices are more sensitive to interest rate changes than are long-term bond prices." Is this statement true or false? Explain.© BrainMass Inc. brainmass.com November 30, 2021, 3:52 am ad1c9bdddf
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Generally, as interest ...
Short-term interest rates more volatile than long-term interest rates are examined.