Question: A second-order autoregressive model for average mortgage rate is: Ratei = -2.0 + 1.8(Rate)i-1 - 0.5 (Rate)i-2. If the average mortgage rate in 2012 was

A second-order autoregressive model for average mortgage rate is: Ratei = -2.0 + 1.8(Rate)i-1 - 0.5 (Rate)i-2. If the average mortgage rate in 2012 was 7.0, and in 2011 was 6.4, the forecast for 2013 is ________. Please directly type in your number without any texts. Keep one decimal

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