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Consider the following spot interest rates for maturities of one, two, three, and four years. r1 = 6.4% r2 = 7.0% r3 = 7.7% r4
Consider the following spot interest rates for maturities of one, two, three, and four years. r1 = 6.4% r2 = 7.0% r3 = 7.7% r4 = 8.5% Assuming a constant real interest rate of 2 percent, what are the approximate expected inflation rates for the next four years? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Omit the "%" sign in your response.) I1 % I2 % I3 % I4 %
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