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Problem 2.15 (LG 2-7) Suppose we observe the following rates 11 -10% R2 -14%, and (ra) - 18% If the liquidity premium theory of the

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Problem 2.15 (LG 2-7) Suppose we observe the following rates 11 -10% R2 -14%, and (ra) - 18% If the liquidity premium theory of the term structure of interest rates holds, what is the liquidity premium for year 2 (Round your intermediate calculations to 5 decimal places and final answer to 3 decimal places. (e.g. 32 161)) Liquidity premium

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