单选题 The term structure theory that rests on the interaction of supply and demand forces in the debt market is the:

A、

A. GIC inverse term structure theory.
B、

B. market segmentation theory.
C、

C. bootstrap theory of sliding rates.

【正确答案】 B

【答案解析】The market segmentation theory holds that the market is segmented into different parts based on the maturity preferences of investors. The theory also holds that the supply and demand forces at work within each segment determine the prevailing level of interest rates for that part of the market.