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2. (5 points) Assume that Expectations Theory of the term structure of interest rates is true, Calculate the current interest rate for maturities one to

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2. (5 points) Assume that Expectations Theory of the term structure of interest rates is true, Calculate the current interest rate for maturities one to five years and plot the resulting yield curve when current and expected future short-term (one year) interest rates have the following path: 1%, 3%, 5%, 7%, 5%

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