The real risk-free rate is 305 inflation is expected to be, Ask an Expert

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The real risk-free rate is 3.05%, inflation is expected to be 3.60% this year, and the maturity risk premium is zero. Ignoring any cross-product terms, i.e., if averaging is required, use the arithmetic average, what is the equilibrium rate of return on a 1-year Treasury bond?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92304783

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