Word.ws English Dictionary

expectations hypothesis

expectations hypothesis noun: the proposition that a long-term interest rate is determined purely by current and future expected short-term rates, so that the expected final value of wealth from investing in a sequence of short-term bonds equals the final value of wealth from investing in long-term bonds.

Noun

expectations hypothesis

  1. The proposition that a long-term interest rate is determined purely by current and future expected short-term rates, so that the expected final value of wealth from investing in a sequence of short-term bonds equals the final value of wealth from investing in long-term bonds.

Questions about expectations hypothesis

What does expectations hypothesis mean?
Expectations hypothesis means the proposition that a long-term interest rate is determined purely by current and future expected short-term rates, so that the expected final value of wealth from investing in a sequence of short-term bonds equals the final value of wealth from investing in long-term bonds.
What part of speech is expectations hypothesis?
Expectations hypothesis is a noun.

Words near expectations hypothesis in the dictionary

  1. expectationist
  2. expectationists
  3. expectations
  4. expectations game
  5. expectations games
  6. expectations hypothesis
  7. expectative
  8. expectative grace
  9. expectative graces
  10. expectatives
  11. expected

Source and license

Adapted from Wiktionary: expectations hypothesis (page history and authors). Text available under the Creative Commons Attribution-ShareAlike 4.0 license. Word.ws reformatted the entry and added links. Wiktionary data of 2026-09-02.

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