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The market has an expected rate of return of 12.1 percent. The long-term government bond is expected to yield 5 percent, and the U.S. Treasury
The market has an expected rate of return of 12.1 percent. The long-term government bond is expected to yield 5 percent, and the U.S. Treasury bill is expected to yield 2.4 percent. The inflation rate is 3.1 percent. What is the market risk premium? (Please answer in decimal format. No credit will be awarded if your answer is in percentage.)
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