If the unbiased expectations theory of the term structure
Question:
Suppose we observe the following rates: 1R2= 8%, 1R2= 10%. If the unbiased expectations theory of the term structure of interest rates holds, what is the 1-year interest rate expected one year from now, E(2r1)?
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questionsuppose we observe the following rates 1r2 8 1r2 10 if the unbiased expectations theory of the term structure
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