Generally speaking, all else being equal, an upward-sloping yield curve can be expected when:（）
A. inflationary expectations are beginning to subside and investors begin to show a preference for more liquid/less risky short-term securities.
B. the supply of long-term funds falls short of demand and investors begin to show a preference for more liquid/less risky short-term securities.
C. inflationary expectations are beginning to subside.
参考答案：B
解析：
When demand for loanable funds outstrips supply, interest rates can be expected to rise in that (long-term) segment of the market; also, more preference for short-term securities can be expected to drive up long-term rates as the liquidity premium rises. Thus, both circumstances in the answer can be expected to put upward pressure on the long end of the yield curve.