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Suppose the current one-year interest rate is 2.5% and the two-year interest rate is 3.5%. Calculate the expected one-year interest rate one year from now.

Suppose the current one-year interest rate is 2.5% and the two-year interest rate is 3.5%. Calculate the expected one-year interest rate one year from now. (Enter percentages as decimals and round to 4 decimals;

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