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Investors are purchasing 1-year US treasury bills (IOUs fromUncle Sam that will come due i

Investors are purchasing 1-year US treasury bills (IOUs fromUncle Sam that will come due i

Investors are purchasing 1-year US treasury bills (IOUs fromUncle Sam that will come due in one year) that have a nominalexpected rate of return of about 2%. If inflation over the next 12months is 5% then the real rate of return on thatinvestment will be

Abhinav 04-Dec-2019

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