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Computation of rate of inflation with given data

The real risk-free rate, k*, is 3 percent. Two-year Treasury securities yield 6.5 percent. Three-year Treasury securities yield 7 percent. The Treasury securities have a maturity risk premium = 0.1 %( t - 1), where t = the maturity of the security. Assume that the default risk premium and liquidity premium on all Treasury securities equals zero. The expected rate of inflation for this next year (Year 1) is 3.25 percent. What does the market anticipate will be the rate of inflation three years from now?

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