Decrease during business cycle expansions and increase

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Risk premiums on corporate bonds are usually anticyclical; that is, they decrease during business cycle expansions and increase during recessions. Why is this so?

Reference no: EM131127269

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Decrease during business cycle expansions and increase : Risk premiums on corporate bonds are usually anticyclical; that is, they decrease during business cycle expansions and increase during recessions. Why is this so?
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