# [Solved] If the Expected Path of 1-Year Interest Rates Over the Next

## If the expected path of 1-year interest rates over the next five years is 1 percent,2 percent,3 percent,4 percent,and 5 percent,the expectations theory predicts that the bond with the highest interest rate today is the one with a maturity of

A)two years.

B)three years.

C)four years.

D)five years.

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