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Determinant of Interest Rates The real risk-free rate of interest is 2%. Inflation is expected to be 2% this year and 6% during each of

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Determinant of Interest Rates The real risk-free rate of interest is 2%. Inflation is expected to be 2% this year and 6% during each of the next 2 years. Assume that the maturity risk premium is zero. What is the yield on 2-year Treasury securities? Pound your answer to two decimal places. What is the yleld on 3-year Treasury securities? Pound your answer to two decimal places

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