Liquidity Premium Hypothesis Based on economists' forecasts and analysis, one-year Treasury bill rates and liquidity premiums for the next four years are expected to be as follows: R = 5.55% Er2 = 6.65% L2=.35% Erg] = 6.85% L3 = .38% Er4) = 7.05% L4 = 40% Using the liquidity premium hypothesis, what is the current rate on a four-year Treasury security? Multiple Choice 6.5250% 6.5250% 7.4500%