Question
5-year Treasury bonds yield 4.4%. The inflation premium (IP) is 1.8%, and the maturity risk premium (MRP) on 5-year T-bonds is 0.3%. There is no
5-year Treasury bonds yield 4.4%. The inflation premium (IP) is 1.8%, and the maturity risk premium (MRP) on 5-year T-bonds is 0.3%. There is no liquidity premium on these bonds. What is the real risk-free rate, r*?
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Learn Forex Trading In 5 Days Forex For Beginners
Authors: Gideon Adewumi ,Igwue Stephen
1st Edition
1980667195, 978-1980667193
