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Assume these were the inflation rates and stock market and Treasury bill returns between 1929 and 1933 Year Inflation Stock Market Retum THB Retum 1929
Assume these were the inflation rates and stock market and Treasury bill returns between 1929 and 1933 Year Inflation Stock Market Retum THB Retum 1929 5 -142 7.0 1930 -34 -31.5 23 1931 -9.2 -472 1.4 1932 -11.4 -10.4 1933 7 632 2 a. What was the real return on the stock market in each year? (Negative answers should be indicated by a minus sign. Do not round Intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Year Real Return 1929 % 1930 % 1931 % 1932 1933 b. What was the rithmetic average rat retum? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations, Inter your answer as a percent rounded to 2 decimal places) Average real retum c. What was the premium in each year? (Negative answers should be indicated by a minus sign. Enter your answers as percent rounded to 2 decimal places) Year Risk Premium 1929 1930 1931 1932
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