Question: Question 9 1 pts . Given the following data, find the expected rate of inflation during the next year. r* = real risk-free rate =

 Question 9 1 pts . Given the following data, find the

Question 9 1 pts . Given the following data, find the expected rate of inflation during the next year. r* = real risk-free rate = 3.80%. Maturity risk premium on 10-year T-bonds = 2%. It is zero on 1-year bonds, and a linear relationship exists. Default risk premium on 10-year, A-rated bonds = 1.5%. Liquidity premium = 0%. Going interest rate on 1-year T-bonds = 5.30%. O 1.70% O 1.50% 1.60% 1.80% 1.90%

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