YTM 11%} Maturity LLB. Treasury Euro Area AAA+ 1 year 13.06 -ii.? 2 years {1.13 U'.?3 3 years 1.38 41272 5 years 1.39 4162 10 yea rs 1.69 412? ED years 2.24 {116 30 yea rs 2.34 13.2? 1. [12 points] Denote the current interest rate for 1-year and 2-year T-hills by {1'} and fig. Write down the expression for the 1year interest rate expected for next year. denoted by ii}: +1, and the expres sion for the 10year interest rate expected 10 years from now, iix +10. 2. [3 Points] Using the results in part 1 and the LIE. yield curve. compute the 1-year interest rate that is expected for the year beginning on April 12, 2022. and the lityear interest rate that is expected for the 10 years starting on April 12, 2031. 3. [3 points] Repeat the calculations in part 2 for Euro Area government bonds. 4. [12 points] Discuss the differences between the yield curves in the US. and in the Euro Area, in particular the speed at which 1year interest rates are expected to change. Provide at least one explanation for the current negative nominal interest rates in the Euro Area