True or false. No explanation is required.

1. On average, a coupon bond will increase in value as it approaches maturity.

2. A bond with a coupon rate higher than its yield is worth more than its par value.

3. Real interest rates are generally higher than nominal interest rates.

4. REITs pay almost no taxes.

5. If the S&P500 index had a positive return today, we would expect that a US investment grade bond index would also have a positive return today.

6. A floating rate mortgage generally has a higher interest rate than a fixed rate mortgage.

7. The Fisher effect implies that the 10-year government bond rate is roughly inflation plus a constant.