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The interest rate on oneyear Treasury hands 3 it} percent, the rate on twoyear Thona's is {19 percent, and the rate on threeyear Thona's is

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The interest rate on oneyear Treasury hands 3 it} percent, the rate on twoyear Thona's is {19 percent, and the rate on threeyear Thona's is :18 percent. Using the expectations theory, compute the expected oneyear r'nte rest rates in (a) the seconaT year (Hear 2 only} and (h) the third year (Year 3 only). . so

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