Question: The pure expectations theory, or the expectations hypothesis, asserts that long - term interest rates can be used to estimate future short - term interest

The pure expectations theory, or the expectations hypothesis, asserts that long-term interest rates can be used to estimate future short-term interest rates.Based on the pure expectations theory, is the following statement true or false?A certificate of deposit (CD) for two years will have the same yield as a CD for one year followed by an investment in another one-year CD after one year.TrueFalse

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