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One-year Treasury bills currently earn 1.50% and you expect that one year from now, one-year Treasury bill rates will increase to 2.00%; If the liquidity

One-year Treasury bills currently earn 1.50% and you expect that one year from now, one-year Treasury bill rates will increase to 2.00%; If the liquidity premium on two-year securities is 0.50%and the liquidity theory is correct, what should the current rate be on two-year Treasury securities?

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