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9. Fisher effect: If the real interest rate is 2% and the inflation rate is 7%, what rate would you expect to see on a

9. Fisher effect: If the real interest rate is 2% and the inflation rate is 7%, what rate would you expect to see on a Treasury bill?

10. Fisher effect: You expect the total real return on an investment to be 6%. What should the inflation rate be over the next year if the investment offers a 9.5% total return over the coming year?

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