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The real risk-ftee rate of interest is 2.04% at the beginning of 2021 . Inflation is expected to be 2% in 2021, jump to 4.00%

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The real risk-ftee rate of interest is 2.04% at the beginning of 2021 . Inflation is expected to be 2% in 2021, jump to 4.00% in 2022 , and run at 3% in 2023 . A maturity risk premium is expected to be 0,15% pee vear to maturity. A liquidity premium on corporate bonds issued by small companies will continue to be 0.50%. regardless of their maturities, What should the interest rate on a 3 -year Treasury security be at the beginning of 2021 ? 5.99% 5645 5.345 540w

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