The real risk-free rate of interest is 2 percent. Inflation is expected to be 3 percent this coming year, jump to 5 percent next year, and increase to 6 percent the year after (Year 3). According to the expectations theory, what should be the interest rate on 2-year, risk-free securities today?

4.5%

5.5%

6.0%

5.0%

6.5%