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maximizes your pagation o n e is currently 2%. To the yield 9. maximizes your payout as his agunt. (10 pts) The one-year vield on a Treasury Note is currently 2%. To control for expected inflation, the Federal Reserve Bank expects to increase the yield (nominal interest rate) on the one-year note by 1% each year, for the next four years (3% next year, 4% the following year, etc.). If rational investors take this Information into consideration. what is the expected yield on a 5-year Treasury Bond? in premium is 3%, the liquidity