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Can someone please tell me if these are both correct? Expected Interest Rate The real risk-free rate is 2.5%. Inflation is expected to be 1.75%
Can someone please tell me if these are both correct?
Expected Interest Rate The real risk-free rate is 2.5%. Inflation is expected to be 1.75% this year and 3.5% during the next 2 years. Assume that the maturity risk premium is zero. What is the yield on 2-year Treasury securities? What is the yield on 3-year Treasury securitiesStep by Step Solution
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