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Liquidity Premium Hypothesis One year Treasury bills currently earn 615 percent. You expect that one year from now one year Treasury bill totes will increase

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Liquidity Premium Hypothesis One year Treasury bills currently earn 615 percent. You expect that one year from now one year Treasury bill totes will increase to 6.40 percent. The liquidity premium on two year securities is 140 percent. If the liquidity theory is correct. What should the current rate be on two yearTreasury securities Multiple Choice 42300 6.34508 62730% 12.6900

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