Question: Real interest? rates: approximation method?) If the real? risk-free rate of interest is 4.8 % and the rate of inflation is expected to be constant
Real interest? rates: approximation method?) If the real? risk-free rate of interest is 4.8 % and the rate of inflation is expected to be constant at a level of 4.2 %?, what would you expect? 1-year Treasury bills to return if you ignore the cross product between the real rate of interest and the inflation? rate? The expected rate of return on? 1-year Treasury bills is nothing?%. ?(Round to one decimal? place.)
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