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Twelve-year Treasury bonds are yielding 5.8% per year and a twelve-year corporate bond is yielding 7.4% per year. If the corporate bonds yield includes a
Twelve-year Treasury bonds are yielding 5.8% per year and a twelve-year corporate bond is yielding 7.4% per year. If the corporate bonds yield includes a 0.8% per year default premium and a 2.1% per year inflation premium, what is its liquidity premium?
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