noun
Meaning 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.
Definition source: English Wiktionary via Wiktextract
Topics: economics, sciences
No example sentence was provided for this meaning.
Meaning relationships
Synonyms: none provided
Antonyms: none provided