Suppose $2-$year Treasury bonds yield $4\mathrm{.}4\%,$ while $1-$year bonds yield $3\mathrm{.}6\%.$ r$*$ is $1\%,$ and the maturity risk premium is zero.

Using the expectations theory, what is the yield on a $1-$year bond, $1$ year from now? Calculate the yield using a geometric average. Do not round intermediate calculations. Round your answer to two decimal places.

$\%$

What is the expected inflation rate in Year $1?$ Year $2?$ Do not round intermediate calculations. Round your answers to two decimal places.

Expected inflation rate in Year $1$:$\%$

Expected inflation rate in Year $2$:$\%$