- Online research: do a search for the “the Yield Curve” and study the examples that come up. What are its axes? What data makes up the points that define the curve? What does it tell the financial world that makes it such an important tool? Using internet search, look up the 3 Month Treasury Bill yield and the 10 Year Treasury Note Yield as of January 1, 1981 and as of January 1, 2016, and draw a simple, 2-point yield curve for each of these dates using this data. What are the important ways in which they are different? What did you learn from this exercise? (NOTE: finding this data is a key part of the assignment. If you don’t find it at first, keep looking. It exists and is free and public information.)
Deliverable: One page showing 2 graphs you have drawn: the 1/1/1981 yield curve and the 1/1/2016 yield curve. Axes, data point coordinates (numbers), and the source of each piece of data must be labeled (which website or content provider you got the information from) in order to receive credit.