24. The one-year spot rate is 9%, and the twa-year spot rate is 7%. If the one-year...

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24. The one-year spot rate is 9%, and the twa-year spot rate is 7%. If the one-year spot rate expected in one year is 4.5%, according to the liquidity preference theory, what must be the one-year liquidity premium commencing one year from now?

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Investments

ISBN: 9788120321014

6th Edition

Authors: William F. Sharpe, Gordon J. Alexander, Jeffery V. Bailey

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