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Thapter 6. Understanding Financial M... Saved Help Say Suppose we observe the following rates: 1R1 = 8%, R2 = 9%. If the unbiased expectations theory

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Thapter 6. Understanding Financial M... Saved Help Say Suppose we observe the following rates: 1R1 = 8%, R2 = 9%. If the unbiased expectations theory of the term structure of interest rates holds, what is the 1-year interest rate expected one year from now. (27)? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Interest rate Prey 7 of 12 Next > arch

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