C. Using the "2049 Feb 15" TIPS bond and the "2/15/49" Treasury bond from the bigger table (these two mature on the same day - duh!), estimate the bond market's long run expectation of inflation. [Hint: Recall the relationship between real interest rates, nominal interest rates, and the rate of inflation - see Chapter 11 in the Mankiw text for a refresher if needed. ] 1 . The bond market's long run expectation of inflation is the between the yields on these two bonds and is approximately annually. a. Sum ; 4% b. Difference ; 4% C. Sum ; 2% Difference ; 2%