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If the interest rate on a brand-new one-year bond is 5% and people expect the one-year bond rate to rise to 6% next year, 7%

If the interest rate on a brand-new one-year bond is 5% and people expect the one-year

bond rate to rise to 6% next year, 7% the year after, 8% the year after that, and 9% the

year after that, then:

* the interest rate on a 1-year bond sold today is__________

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