(18.4) How would you expect a rise in inflation to affect the yields and prices of nominal, fixed-rate bonds? Distinguish between an anticipated and unanticipated shock to inflation and between one...

(18.4) How would you expect a rise in inflation to affect the yields and prices of nominal, fixed-rate bonds? Distinguish between an anticipated and unanticipated shock to inflation and between one that was expected to persist and one that was temporary.