What are the components of a Yield curve?

A yield curve graphically represents the relationship between interest rates and the maturity dates of debt securities, typically government bonds. The main components of a yield curve include the interest rate (or yield) on the vertical axis and the time to maturity on the horizontal axis. The curve can be upward-sloping (normal), downward-sloping (inverted), or flat, indicating market expectations about future interest rates and economic conditions. Additionally, the shape of the curve reflects the risk premium demanded by investors for longer maturities versus shorter ones.