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Suppose that the interest rate on a one-year Treasury bill is currently 6% and that investors expect that the interest rates on one-year Treasury bills
Suppose that the interest rate on a one-year Treasury bill is currently 6% and that investors expect that the interest rates on one-year Treasury bills over the next three years will be 7% 8% and 6% Use the expectations theory to calculate the current interest rates on two-year three-year and four-year Treasury notes The current interest rate on two-year Treasury notes is % (Round your response to two decimal places.) The current interest rate on three-year Treasury notes is %. (Round your response to two decimal places.) The current interest rate on four-year Treasury notes is %. (Round your response to two decimal places.)
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