by SpontaneousDisorder

The government borrows from the market for different lengths of time. ie from 1 month to 30 years. The interest rates (yield) vary according to what the market demands at any moment. This is the yield curve. An inverted yield curve is the unusual situation of the market demanding more yield for shorter maturities than longer ones.
Inverted Yield curve has a history of predicting recessions.
https://fred.stlouisfed.org/graph/?g=dOUu
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