Question
You want to invest in a 10-year U.S. Treasury Bond. The Nominal Yield on this bond is 4.5%. If you assume that long-term inflation will
You want to invest in a 10-year U.S. Treasury Bond. The Nominal Yield on this bond is 4.5%. If you assume that long-term inflation will be about 3.4%, then what is a rough estimate for your real rate of return on this bond?
| 1.10% | ||
| 4.5% | ||
| 3.66% | ||
| 2.21% |
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