Question
Fisher Approximation If the U.S. Treasury 10 year note is yielding 5.4% and the expected real rate of return is 1.0%, given the Fisher Approximation
Fisher Approximation
If the U.S. Treasury 10 year note is yielding 5.4% and the expected real rate of return is 1.0%, given the Fisher Approximation what is the expected inflation rate? (Answer to 1 decimal place, 2.4 for 2.4%)
If the nominal interest rate (10 year Treasury Note) is 3.30% and expected inflation is 1.20%, what is the expected real rate of return using the Fisher Approximation? (Answer to 2 decimal places in percent, 1.24 for 1.24%).
Using the Fisher Approximation, if the real rate of return is 1.90% and inflation is 2.50%, what is the nominal interest rate (in percent to 2 decimal places, 1.24 for 1.24%)?
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