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A recent edition of The Wall Street Journal reported interest rates of 4.75 percent, 5.10 percent, 5.48 percent, and 5.75 percent for 3-, 4-, 5-,
A recent edition of The Wall Street Journal reported interest rates of 4.75 percent, 5.10 percent, 5.48 percent, and 5.75 percent for 3-, 4-, 5-, and 6-year Treasury security yields, respectively. According to the unbiased expectation theory of the term structure of interest rates, what are the expected 1-year forward rates for years 4, 5, and 6?
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