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What should current rate be on two year treasury securities

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Problem 1: One year treasury bills currently earn 1.50 percent. You expect that one year from now, 1 year Treasury bill rates will increase to 1.70 percent. If the unbiased expectations theory is correct, what should the current rate be on 2 year treasury securities? (Round your answer to 2 decimal places)

Reference no: EM132822592

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