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Consider the following spot interest rates for maturities of one, two, three, and four years. r 1 = 4.3% r 2 = 4.9% r 3
Consider the following spot interest rates for maturities of one, two, three, and four years. |
r1 = 4.3% r2 = 4.9% r3 = 5.6% r4 = 6.4% |
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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