What are the approximate expected inflation rates

Reference no: EM133377278

Question: Consider the following spot interest rates for maturities of one, two, three, and four years.

r1 = 6.4%

r2 = 7.0%

r3 = 7.7%

r4 = 8.5%

Assuming a constant real interest rate of 2 percent, what are the approximate expected inflation rates for the next four years? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)

Reference no: EM133377278

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