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Assume the inflation rate is expected to be 3% next year and 4% thereafter. If the real riskfree rate is 2.5% and the maturity risk
Assume the inflation rate is expected to be 3% next year and 4% thereafter. If the real riskfree rate is 2.5% and the maturity risk premium is 0.5%, what is the yield on a 4-year TBond?
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Financial Markets And Institutions
Authors: Frederic S. Mishkin, Stanley Eakins
6th Edition
0321374215, 9780321374219
