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Capital Market ExpectationsHard

An analyst studies the historical relationship between CPI inflation and 10-year government bond yields using US data from 1970 to 2024. In 1983, the Bureau of Labor Statistics changed the CPI treatment of owner-occupied housing from actual house prices to owners' equivalent rent. In 1991, BLS introduced regression-based quality adjustments. The analyst's model is most vulnerable to:

CFA Level III — Capital Market Expectations Practice Question | AcadiFi | AcadiFi