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Suppose 1-year T-bills currently yield 4.00% and the future inflation rate is expected to be constant at 3.00% per year. What is the real risk-free

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Suppose 1-year T-bills currently yield 4.00% and the future inflation rate is expected to be constant at 3.00% per year. What is the real risk-free rate of return, r"? Disregard any cross-product terms, i.e., if averaging is required, use the arithmetic average. 0.85% O 1.00% O 0.97% O 1.15%

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