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Check My Work eBook Maturity Risk Premium The real risk-free rate is 3%, and inflation is expected to be 4% for the next 2 years.

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Check My Work eBook Maturity Risk Premium The real risk-free rate is 3%, and inflation is expected to be 4% for the next 2 years. A 2-year Treasury security yields 7.8%. What is the maturity risk premium for the 2-year security? Round your answer to one decimal place. 9

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