Nominal and real rates and yield curves A firm wishing to evaluate interest rate behavior has gathered data on nominal rate of interest and on inflationary expectation for five U.S. Treasury securities, each having a different maturity and each measured at a different point in time during the year just ended. These data are summarized in the following table: Using the preceding data, find the real rate of interest at each point in time. Describe the behavior of the real rate of interest over the year. What forces might be responsible for such behavior? Assuming that the nominal rates were measured at the same point in time, select the graph that correctly shows the yield curve associated with the data in the table. Describe the resulting yield curve in part c, and explain the general expectations embodied in it. Using the preceding data, find the real rate of interest at each point in time. The real rate of interest for security A is %. (Round to one decimal place.) The real rate of interest for security B is %. (Round to one decimal place.) The real rate of interest for security C is %. (Round to one decimal place.) The real rate of interest for security D is %. (Round to one decimal place.) The real rate of interest for security E is %. (Round to one decimal place.) Describe the behavior of the real rate of interest over the year. The real rate of interest from Jan. 7 to Mar. 12. (Select from the drop-down menu.) The real rate of interest from Mar. 12 to May 30. (Select from the drop-down menu.)