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If a Treasury inflation protective security (TIPS) has -.50% yield and a regular 10 year bond yield is 1.0%, then the investor's inflation expectation is

If a Treasury inflation protective security (TIPS) has -.50% yield and a regular 10 year bond yield is 1.0%, then the investor's inflation expectation is approximately 1.50%.

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A 10 year bond with a $10 coupon and a yield to maturity of -.70% has a market price of approximately $1,029.

True

False

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