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Intro 1-year bonds yield 5.5% and 2-year Treasury bonds yield 8.5%. The real risk-free rate of interest is 4% and expected to stay constant, while

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Intro 1-year bonds yield 5.5% and 2-year Treasury bonds yield 8.5%. The real risk-free rate of interest is 4% and expected to stay constant, while the maturity risk premium is zero. Part 1 Attempt 1/6 for 10 pts. Using the expectations theory, what is the yield on a 1-year bond, one year from now? 3+ decimals Submit - Attempt 1/6 for 10 pts. Part 2 What is the expected inflation rate in Year 1? 4+ decimals Submit Attempt 1/8 for 10 pts. Part 3 What is the expected Inflation rate in Year 2

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