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  3. 4. analysts predict that short-term interest rates

4. Analysts predict that short-term interest rates over the next 4 years will be as...

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Finance

4. Analysts predict that short-term interest rates over the next 4 years will be as follows: 4.5%, 2%, 6.5%, and 8.5%, respectively. According to expectations theory, the yield on a discount bond with a three year maturity will be ____ and yield on bond with a four year maturity will be ____.

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