(Answered) Suppose we observe the following ratesnbsp1r1nbsp

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Suppose we observe the following rates: ₁R₁ = 6%, ₁R₂ = 8%. If the unbiased expectations theory of the term structure of interest rates holds, what is the 1-year interest rate expected one year from now, E(₂r₁)? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

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