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(Calculating the maturity-risk premium) At present, the real risk-free rate of interest is 1.8%, while inflation is expected to be 1.1% for the next two
(Calculating the maturity-risk premium) At present, the real risk-free rate of interest is 1.8%, while inflation is expected to be 1.1% for the next two years. If a 2-year Treasury note yields 4.7%, what is the maturity-risk premium for this 2-year Treasury note?
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