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The demand curve and supply curve for a two-year discount bond with a face value of $2,420 are represented by the following equations: 0 8:

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The demand curve and supply curve for a two-year discount bond with a face value of $2,420 are represented by the following equations: 0 8\": Price = 2500 1.0 * Quantity . BS: Price = 2.0 * Quantity + 1000 (a) What is the expected equilibrium price and quantity of bonds in this market? (5 marks) (b) Given your answer to part (a), what is the expected interest rate in this market

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