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Question 23 5 pts The observed nominal interest rate is a sum of the real interest rate and the expected inflation rate. Assume that the

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Question 23 5 pts The observed nominal interest rate is a sum of the real interest rate and the expected inflation rate. Assume that the real rate is 2% for all maturities. If the nominal rate on 1-year T-bond is 5% and that on 2-year T-bond is 7%, estimate the nominal rate on 1-year bond during the second year. Upload Choose a File

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