Question: According to the expectations hypothesis, What do you expect the interest rate on a two-year bond to be three years from now? The current interest

According to the expectations hypothesis, What do you expect the interest rate on a two-year bond to be three years from now? The current interest rates for different maturities are as follows:

Maturity Rate
1-year 3.00
2-year 3.50
3-year 3.75
4-year 4.00
5-year 4.00

Enter your answer as a percent without the % sign. Round your final answer to two decimals.

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