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20. Suppose the interest rate on a 1-year T-bill is 5.5% and that on a 2-year T-bill is 7.5%. Assuming the pure expectations theory is

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20. Suppose the interest rate on a 1-year T-bill is 5.5% and that on a 2-year T-bill is 7.5%. Assuming the pure expectations theory is correct (and MRP = 0), what is the market's forecast for 1-year rates 1 year from now

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